Key Takeaways
- The short sellers made more than $ 50 billion in 7 trading days
- Tesla has been the most profitable short
UNITED states, short sellers were 51.3 billion dollars in profits as the S&P 500 declined by 10.02% and the Nasdaq fell 9.32% from Feb. 24 to March 3, according to S3 Partners. The Total equity short interest increased to 14.58 billion during this period, to $848.3 billion. “When we look at the most active has shorted the stocks, those with more than $ 50 million short interest, 90% of stocks were positive mark-to-market PL, with an average return of +7.62%,” said the note published yesterday.
Here are the highlights of the action:
- Most profitable shorts in the sizes: Tesla, Amazon, Visa, Eldorado Resorts, Facebook
- Most profitable shorts in percentage: Tellurian, Dycom Industries, Chesapeake Energy, SmileDirectDlub, Penn REIT
- Stocks with the largest amount of the short sale: Visa, Berkshire Hathaway, McKesson Corp, Digital Realty Trust, Boeing
“If, today, the top-of-the-range is followed by many more days of positive stock price movement, we should see short covering activity in many stocks, the short sellers realize recently earned the market value gains. A good part of the $14.58 billion of recent short selling activity may have a short life span, but profitable if shorts cover in the time,” said Ihor Dusaniwsky, Director-general of the Predictive analysis, S3 Partners.
Source: S3 Partners.
Source: investopedia.com