Short sellers remain sceptical of Herbalife success
07 August 2013 New York
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Billionaire investor George Soros recently took a large stake in Herbalife—the weight management and nutritional supplement firm—but short sellers aren’t buying into the rising share prices, said SunGard.
The firm released its top ten hottest stocks from a securities lending perspective, the first of which was Herbalife. The company has recently been in the press, with George Soros facing allegations that his fund management firm engaged in insider trading before purchasing a stake in Herbalife.
The second hottest stock is 2 - 3D Systems Corp., which saw some volatile share action last week, as a surge of buying before its earnings announcement left room for a drop when the numbers came in fair, but below expectations, said SunGard.
“The lending data does hint at some increased demand to borrow, although volumes themselves have remained little changed, with the cost of borrowing climbing by half following the results.”
The third and fourth hottest stocks were Cliffs Natural Resources and Carbo Ceramics, respectively. Cliffs Natural Resources is an international mining and natural resources company that focusses on serving the world's largest and fastest growing steel markets.
It saw some interest last week after it reached an agreement with the United Steelworkers Union for a three-year contract for workers at its Bloom Lake mine, and SunGard have said that demand to borrow has picked up as its share price made some small gains in a recent session.
Zillow Inc., Vera Bradley Inc., K+S AG, US Airways Group Inc., Outotec OYJ, and United States Steel Corp were the other six hottest stocks.
The firm released its top ten hottest stocks from a securities lending perspective, the first of which was Herbalife. The company has recently been in the press, with George Soros facing allegations that his fund management firm engaged in insider trading before purchasing a stake in Herbalife.
The second hottest stock is 2 - 3D Systems Corp., which saw some volatile share action last week, as a surge of buying before its earnings announcement left room for a drop when the numbers came in fair, but below expectations, said SunGard.
“The lending data does hint at some increased demand to borrow, although volumes themselves have remained little changed, with the cost of borrowing climbing by half following the results.”
The third and fourth hottest stocks were Cliffs Natural Resources and Carbo Ceramics, respectively. Cliffs Natural Resources is an international mining and natural resources company that focusses on serving the world's largest and fastest growing steel markets.
It saw some interest last week after it reached an agreement with the United Steelworkers Union for a three-year contract for workers at its Bloom Lake mine, and SunGard have said that demand to borrow has picked up as its share price made some small gains in a recent session.
Zillow Inc., Vera Bradley Inc., K+S AG, US Airways Group Inc., Outotec OYJ, and United States Steel Corp were the other six hottest stocks.
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