Markit's most shorted
08 June 2015 Global
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Water firm Layne Christensen is the most shorted company worldwide ahead of earnings results with 25.7 percent of its shares out on loan, according to the latest list from Markit.
The energy shorts are led by Triangle Petroleum with 23.6 percent of its shares out on loan. It shares are down by over 50 percent in the last 12 months in the wake of the collapse in oil prices.
Energy short sellers are not constrained to the oil and gas segment, as Canadian uranium exploration firm Uranium Energy has made Markit’s list of the most shorted ahead of earnings with 7.4 percent of shares out on loan.
The demand to short sell Uranium Energy is down significantly in the last few weeks after its shares rallied from recent lows.
3D printing is another popular sector for short sellers and the week has seen Organovo and ExOne make the heavily shorted list ahead of earnings with 12.7 and 11 percent of shares out on loan respectively.
Rounding out the list is former perennial short Sears which has 6.5 percent of shares out on loan.
German printing equipment company Heidelberger Druckmeschinen, which has 8 percent of shares out on loan, is the most shorted European firm ahead of earnings.
Research analyst at Markit, Simon Colvin, said: “Heidelberger has seen shorts cover in recent weeks however as analysts have increased their expectations for the company’s upcoming results.”
“Analysts are now forecasting the firm to turn its first profit in a year after boosting their revenue expectations by over 10 percent in the last three months.”
In the UK, Oxford instruments has 6.9 percent of shares out on loan ahead of earnings. Short sellers have stayed the course in the nano technology equipment manufacturer despite the fact that its shares have rallied from their lows after the firm announced a profits warning in January.
Digital image software firm Morpho is the most shorted Asian name this week with just under 6 percent of its shares out on loan.
Morpho has not been the most successful position for short sellers as the firm’s shares are now up by over 270 percent for the year. This rally has sent shorts covering with demand to borrow now third of the level seen during the April highs, says Colvin.
The second most shorted Asian firm ahead of earnings is China Huishan Dairy which has 5.8 percent of shares out on loan.
Colvin added: “Interestingly, short sellers have covered their positions in the run-up to earnings despite the fact that a global milk glut has sent prices to a five-year low.”
The energy shorts are led by Triangle Petroleum with 23.6 percent of its shares out on loan. It shares are down by over 50 percent in the last 12 months in the wake of the collapse in oil prices.
Energy short sellers are not constrained to the oil and gas segment, as Canadian uranium exploration firm Uranium Energy has made Markit’s list of the most shorted ahead of earnings with 7.4 percent of shares out on loan.
The demand to short sell Uranium Energy is down significantly in the last few weeks after its shares rallied from recent lows.
3D printing is another popular sector for short sellers and the week has seen Organovo and ExOne make the heavily shorted list ahead of earnings with 12.7 and 11 percent of shares out on loan respectively.
Rounding out the list is former perennial short Sears which has 6.5 percent of shares out on loan.
German printing equipment company Heidelberger Druckmeschinen, which has 8 percent of shares out on loan, is the most shorted European firm ahead of earnings.
Research analyst at Markit, Simon Colvin, said: “Heidelberger has seen shorts cover in recent weeks however as analysts have increased their expectations for the company’s upcoming results.”
“Analysts are now forecasting the firm to turn its first profit in a year after boosting their revenue expectations by over 10 percent in the last three months.”
In the UK, Oxford instruments has 6.9 percent of shares out on loan ahead of earnings. Short sellers have stayed the course in the nano technology equipment manufacturer despite the fact that its shares have rallied from their lows after the firm announced a profits warning in January.
Digital image software firm Morpho is the most shorted Asian name this week with just under 6 percent of its shares out on loan.
Morpho has not been the most successful position for short sellers as the firm’s shares are now up by over 270 percent for the year. This rally has sent shorts covering with demand to borrow now third of the level seen during the April highs, says Colvin.
The second most shorted Asian firm ahead of earnings is China Huishan Dairy which has 5.8 percent of shares out on loan.
Colvin added: “Interestingly, short sellers have covered their positions in the run-up to earnings despite the fact that a global milk glut has sent prices to a five-year low.”
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