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Once a week I love to watch A brief report of the ASIC position to find out which stocks short sellers are targeting.
This is because I believe that short interest rates should be closely monitored, as high levels can sometimes be a sign that something is wrong with a company.
With that in mind, here are the 10 shortest stocks on ASX this week according to ASIC:
- Flight Center Travel Group Ltd (ASX: FLT) continues to be the shortest ASX stock with a short interest rate of 7.15%, down slightly over the week. It seems that sellers from short sales believe that the market expects too much from the recovery of the tourism market.
- Betmakers Technology Group Ltd (ASX: BET) The short interest rate fell to 13.5%. Concerns about valuation seem to affect sentiment, especially given that its operations bring losses in an irreconcilable investment environment.
- Nanosonics Ltd (ASX: NAN) has a short percentage of 12.3%, which has risen slightly over the week. Shorts sellers seem to be betting that sudden and serious changes in this company’s medical device sales model in the United States will stifle its growth.
- Palinova LLC (ASX: PNV) Short-term interest rose to 11.1%, despite the fact that the medical device company recently reported heavy insider purchases. Sellers with short sales don’t seem to believe that Polynovo’s poor performance will improve.
- Webjet Limited (ASX: WEB) has a short percentage of 9.8%, increasing week by week. Last week, this online travel agent published the results for the whole year and discovered another loss. However, he expects a significant improvement in fiscal year 2023.
- Kogan.com Ltd (ASX: KGN) The short interest rate fell to 9.6%. Kogan’s poor performance, grim inventory management and increased competition from Amazon seem to be behind this high level of short-term interest.
- Appen Ltd (ASX: APX) its short-term interest rate rose to 9.6%. Short sellers may believe that Appen may face a softening of demand for their services. It is believed that some technology giants are trying to bypass companies like Appen by taking things home.
- EML Payments Ltd (ASX: EML) its short-term interest rate fell to 9.5%. Shares of this payment company fell this year amid estimates and regulatory problems, as well as poor performance in the third quarter.
- Regis Resources Limited (ASX: RRL) entered the top ten, 9.1% of its shares fell short. Labor shortages, cost pressures and low prices fluctuated on the shares of this gold miner.
- AMA Group Ltd (ASX: AMA) has 9.1% of its shares that are short-lived, which is steady since the week. Some investors believe that recapitalization will be needed.