Top of hot stocks: Interserve, CNH Industrial and Aphria Inc.
12 December 2018 London
Image: Shutterstock
UK-based support services and construction company, Interserve, topped the FIS Astec Analytics hot stocks list for Europe, the Middle East and Africa last week.
The company shares dropped sharply due to the market shock as a result of an announcement that it is seeking a rescue deal to help it manage its £500 million debt pile, which may include issuing new shares
According to FIS, the evidence leading up to the announcement was not a surprise to everyone.
Shares fell as far as £0.24 by last week’s close, those holding short positions have gross gains of around £2.00 apiece.
With 78 percent of the shares borrowed at the end of last week, short sellers were positioned ahead of the ‘surprise’ announcement.
Following Interserve was CNH Industrial, the Netherlands-based heavy machinery and vehicle manufacturer for the construction and agricultural industries.
Those taking short positions were well rewarded, however, as the shares closed last week at €8.49—down almost €4 or 32 percent from the peak.
Topping the Americas hot stocks list was Aphria, the Canada-based producer and seller of cannabis.
Short interest volume advanced by some 226 percent since October 1, pushing utilisation up to 88 percent as at last week’s close.
Of this FIS said: “The controversy has punished the share price, collapsing from $21.70 in September to close last week at $6.93—a loss of some 68 percent—making some investors’ money go up in smoke.”
Topping the Asia-Pacific hot stocks was Cyberdyne, the Japan-based medical robotics company, who last appeared on the hot stocks list at the start of November.
Short interest volume dropped some 36 percent since Cyberdyne was last on the hot stocks list, which pushed utilisation down a net 29 percent.
FIS noted that despite the drop in demand, borrowing costs have been on the rise, reflecting the rate of activity as the shares continue to slide.
The company shares dropped sharply due to the market shock as a result of an announcement that it is seeking a rescue deal to help it manage its £500 million debt pile, which may include issuing new shares
According to FIS, the evidence leading up to the announcement was not a surprise to everyone.
Shares fell as far as £0.24 by last week’s close, those holding short positions have gross gains of around £2.00 apiece.
With 78 percent of the shares borrowed at the end of last week, short sellers were positioned ahead of the ‘surprise’ announcement.
Following Interserve was CNH Industrial, the Netherlands-based heavy machinery and vehicle manufacturer for the construction and agricultural industries.
Those taking short positions were well rewarded, however, as the shares closed last week at €8.49—down almost €4 or 32 percent from the peak.
Topping the Americas hot stocks list was Aphria, the Canada-based producer and seller of cannabis.
Short interest volume advanced by some 226 percent since October 1, pushing utilisation up to 88 percent as at last week’s close.
Of this FIS said: “The controversy has punished the share price, collapsing from $21.70 in September to close last week at $6.93—a loss of some 68 percent—making some investors’ money go up in smoke.”
Topping the Asia-Pacific hot stocks was Cyberdyne, the Japan-based medical robotics company, who last appeared on the hot stocks list at the start of November.
Short interest volume dropped some 36 percent since Cyberdyne was last on the hot stocks list, which pushed utilisation down a net 29 percent.
FIS noted that despite the drop in demand, borrowing costs have been on the rise, reflecting the rate of activity as the shares continue to slide.
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