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) remains the most shorted share with 14.9% of its shares held short. There are concerns that cost of living pressures could weigh on the travel market recovery.
• Betmakers Technology Group Ltd (ASX: BET) has seen its short interest ease to 12.2%. This could be due to weak investor sentiment in the betting industry.
• Block Inc (ASX: SQ2) has short interest of 11.3%, which is down slightly week on week again. Much to the dismay of short sellers, this payments company’s shares have rallied 40% in a month.
• Lake Resources N.L. (ASX: LKE) has short interest of 10.8%, which is up week on week. As with Block, short sellers may be regretting that they didn’t close their positions sooner. This lithium developer’s shares rocketed over 40% last week.
• Nanosonics Ltd (ASX: NAN) has short interest of 10.8%, which is down week on week again. Concerns over changes to this infection prevention company’s sales model in the US have been weighing on its shares.
• Zip Co Ltd (ASX: ZIP) has seen its short interest ease to 9.1%. This buy now pay later provider’s shares are down 83% over the last 12 months. Short sellers don’t appear to believe the declines are over.
• Regis Resources Limited (ASX: RRL) has short interest of 9%, which is down week on week. This gold miner’s shares have come under pressure over the last 12 months due to production issues.
• Mesoblast limited (ASX: MSB) has short interest of 8.3%, which is flat week on week. Last week this biotech company’s shares tumbled lower after it raised equity once again.
• Inghams Group Ltd (ASX: ING) has returned to the top ten with short interest of 8%. Concerns over margin pressure from higher input costs has been weighing on sentiment.
• Megaport Ltd (ASX: MP1) has seen its short interest drop to 7.9%. Unfortunately for short sellers, this network as a service provider’s shares have rallied strongly over the last month amid optimism that it could soon be profitable.

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

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• Lake Resources share price finally slumps after jumping 72% this week
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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 Betmakers Technology Group Ltd, Block, Inc., MEGAPORT FPO, Nanosonics Limited, and ZIPCOLTD FPO. The Motley Fool Australia has positions in and has recommended Block, Inc. and Nanosonics Limited. The Motley Fool Australia has recommended Betmakers Technology Group Ltd, Flight Centre Travel Group Limited, and MEGAPORT FPO. 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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