SunGard's hottest stocks
18 June 2015 Global
Image: Shutterstock
SunGard’s Astec Analytics has compiled the hottest stocks from around the globe for the week beginning 8 June 2015.
Astec has singled out Swedish digital media company ENIRO (ENRO.OMX) after it used a rights issue during May to raise cash to pay down bank debt, which was also restructured to ease the burden.
Despite there not being much further to go, borrowing has remained high keeping utilisation very near 100 percent and borrowing fees well into the "special" zone, according to Astec.
Elsewhere in Europe, the share price of technology provider Meyer Burger Technology (MBTN) has fallen to almost half its 12-month high due to its reliance on technology for the solar industry.
Astec stated: “Borrowing volumes, taken as a proxy for short selling, have remained largely north of 90 percent since October 2014, yet the actual volume on loan has decreased to almost half of its 12-month peak (November 2014) suggesting that supply has been squeezed off, potentially caused by institutional investors selling out of the stock, calling time on its falling share price.”
In the Americas, Shake Shack (SHAK) is also showing utilisation at nearly 100 percent, while fee levels are increasingly expensive and shares have risen from under $40 to almost $80, indicating some substantial unrealised losses for short sellers.
Rare earth mining company Molycorp (MCP) has slipped from a valuation of over $6 billion in its prime to be worth closer to $100 million.
“With a peak valuation of near $74 in April 2011, each share is now worth less than $0.40, but even that is being targeted by those holding on to their short positions and paying a hefty borrowing cost for the pleasure,” said Astec.
In the Asia Pacific region, Alibaba Pictures Group (1060.hk) has seen borrowing on the rise as short sellers take up contrarian positions.
April 2015 saw volumes on loan more than double and Astec has suggested that the Alibaba Pictures valuation may now be overbought and a price correction “is expected by some”.
Finally, after a torrid few years, Sharp Corporation of Osaka (6753) has seen a further 20 percent hike in the borrow volume for its shares and a third sliced off its already depressed share price.
While borrow volumes remain high and are even advancing, Astec has confirmed that some believe the beleaguered Sharp has further to fall.
Astec has singled out Swedish digital media company ENIRO (ENRO.OMX) after it used a rights issue during May to raise cash to pay down bank debt, which was also restructured to ease the burden.
Despite there not being much further to go, borrowing has remained high keeping utilisation very near 100 percent and borrowing fees well into the "special" zone, according to Astec.
Elsewhere in Europe, the share price of technology provider Meyer Burger Technology (MBTN) has fallen to almost half its 12-month high due to its reliance on technology for the solar industry.
Astec stated: “Borrowing volumes, taken as a proxy for short selling, have remained largely north of 90 percent since October 2014, yet the actual volume on loan has decreased to almost half of its 12-month peak (November 2014) suggesting that supply has been squeezed off, potentially caused by institutional investors selling out of the stock, calling time on its falling share price.”
In the Americas, Shake Shack (SHAK) is also showing utilisation at nearly 100 percent, while fee levels are increasingly expensive and shares have risen from under $40 to almost $80, indicating some substantial unrealised losses for short sellers.
Rare earth mining company Molycorp (MCP) has slipped from a valuation of over $6 billion in its prime to be worth closer to $100 million.
“With a peak valuation of near $74 in April 2011, each share is now worth less than $0.40, but even that is being targeted by those holding on to their short positions and paying a hefty borrowing cost for the pleasure,” said Astec.
In the Asia Pacific region, Alibaba Pictures Group (1060.hk) has seen borrowing on the rise as short sellers take up contrarian positions.
April 2015 saw volumes on loan more than double and Astec has suggested that the Alibaba Pictures valuation may now be overbought and a price correction “is expected by some”.
Finally, after a torrid few years, Sharp Corporation of Osaka (6753) has seen a further 20 percent hike in the borrow volume for its shares and a third sliced off its already depressed share price.
While borrow volumes remain high and are even advancing, Astec has confirmed that some believe the beleaguered Sharp has further to fall.
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