Most shorted heading into 2016
24 December 2015 London
Image: Shutterstock
The current 20 most shorted companies have seen shorts increase by 50 percent over the year, according to Markit.
Gamestop is the most shorted company globally with 47 percent of its shares out on loan. The game retailer has seen consistently high shorting interest throughout the year with borrowing demand only up a modest 3 percent since the start of the year.
Singapore listed supply chain Noble Group saw the biggest proportional change in short interest over the year, which grew by 120 times in the past 12 months.
This massive jump makes the company the 11th most shorted in Asia with 14.5 percent of its shares now out on loan.
The 60 most shorted companies across the world had an average of 14 percent of their shares out on loan at the start of the year.
This has subsequently climbed to 22.6 percent.
At the same time, short sellers seem to have given up on real estate developer China Vanke group as its short interest has halved year to date, according to Markit.
While the company still makes it on to the most shorted list, a growing number of short sellers look to be closing out their positions given that its shares have continued to climb in the last six months.
China Vanke is still the exception to the norm however, as only seven of the 60 most shorted companies globally have seen short covering over 2015.
Markit’s data on most shorted sectors shows the favourite targets of short sellers heading into 2016 are clustered around the capital goods and energy firms.
These two sectors make up a third of the 60 firms which see the most interest.
While these sectors were no stranger to short sellers at the start of the year, the ongoing china slowdown and commodities headwinds have added to short sellers’ resolve given that both sectors have seen a large jump in demand to borrow in the past 12 months.
On the energy side, the most shorted firm is Noble Group, Rex Energy and Tidewater while the favourite capital goods shorts are irrigation provider Lindsay Corp and construction firm Carillion.
Gamestop is the most shorted company globally with 47 percent of its shares out on loan. The game retailer has seen consistently high shorting interest throughout the year with borrowing demand only up a modest 3 percent since the start of the year.
Singapore listed supply chain Noble Group saw the biggest proportional change in short interest over the year, which grew by 120 times in the past 12 months.
This massive jump makes the company the 11th most shorted in Asia with 14.5 percent of its shares now out on loan.
The 60 most shorted companies across the world had an average of 14 percent of their shares out on loan at the start of the year.
This has subsequently climbed to 22.6 percent.
At the same time, short sellers seem to have given up on real estate developer China Vanke group as its short interest has halved year to date, according to Markit.
While the company still makes it on to the most shorted list, a growing number of short sellers look to be closing out their positions given that its shares have continued to climb in the last six months.
China Vanke is still the exception to the norm however, as only seven of the 60 most shorted companies globally have seen short covering over 2015.
Markit’s data on most shorted sectors shows the favourite targets of short sellers heading into 2016 are clustered around the capital goods and energy firms.
These two sectors make up a third of the 60 firms which see the most interest.
While these sectors were no stranger to short sellers at the start of the year, the ongoing china slowdown and commodities headwinds have added to short sellers’ resolve given that both sectors have seen a large jump in demand to borrow in the past 12 months.
On the energy side, the most shorted firm is Noble Group, Rex Energy and Tidewater while the favourite capital goods shorts are irrigation provider Lindsay Corp and construction firm Carillion.
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