These are the 10 most shorted ASX shares

Once a week I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Flight Centre Travel Group Ltd (ASX: FLT) continues to be the most shorted ASX share with short interest of 17%, which is down slightly week on week. There are concerns that the market may be expecting too much too soon from the travel market recovery.
• Betmakers Technology Group Ltd (ASX: BET) has seen its short interest remain flat at 13.5%. This betting technology company appears to have been targeted due to its lofty valuation.
• Nanosonics Ltd (ASX: NAN) has short interest of 12.5%, which is up slightly week on week. Short sellers have been increasing their interest in this medical device company since it announced a major change to its sales model in the United States. Though, it is worth noting that last week management said the transition was going well.
• Polynovo Ltd (ASX: PNV) has seen its short interest continue to rise to 11.3%. Short sellers have been topping up their positions despite the medical device company’s Chairman aggressively buying shares this month.
• Webjet Limited (ASX: WEB) has short interest of 10.1%, which is up week on week. Despite Webjet expecting a big improvement in its performance in FY 2023, short sellers don’t appear confident this will be the case.
• Appen Ltd (ASX: APX) has seen its short interest rise to 9.9%. Short sellers will be breathing a sigh of relief after a crazy week. This AI services company’s shares rocketed higher after receiving a takeover approach from Telus International. However, it gave back those gains after Telus withdrew its offer just hours after it was revealed. Appen also released a trading update which revealed a very poor performance during the first half.
• Regis Resources Limited (ASX: RRL) has short interest of 9.2%, which is up slightly since last week. This gold miner appears to have been targeted amid concerns over labour shortages, cost pressures, and lower grades.
• EML Payments Ltd (ASX: EML) has seen its short interest reduce to 9%. Short sellers have been going after this payments company since it revealed a deterioration in its performance during the third quarter.
• Kogan.com Ltd (ASX: KGN) has seen its short interest reduce to 9%. Short sellers have been targeting this ecommerce company due to its poor inventory management, weakening margins, and rising competition from Amazon.
• AMA Group Ltd (ASX: AMA) has 9% of its shares held short, which is down slightly week on week. This high level of short interest may be due to the crash repair company’s precarious balance sheet.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

More reading

• Why Appen, Catapult, CSR, and Select Harvests shares are dropping
• The Flight Centre share price is soaring 3% today. Could this be behind its gains?
• After its recent surge, the Polynovo share price is down 8% this week. Is it a buy?
• What’s boosting the Webjet share price 3% higher on Friday?
• ASX 200 midday update: Appen crashes, lithum shares jump

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Appen Ltd, Betmakers Technology Group Ltd, EML Payments, Kogan.com ltd, Nanosonics Limited, and POLYNOVO FPO. The Motley Fool Australia has positions in and has recommended EML Payments, Kogan.com ltd, and Nanosonics Limited. The Motley Fool Australia has recommended Betmakers Technology Group Ltd, Flight Centre Travel Group Limited, and Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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