Short Selling: Core Lithium and Sayona shorts ease after ASX rebalance
Source: iStock
Mentioned
KEY POINTS
- Pilbara Minerals and Syrah Resources persist as the top two shorted stocks since late November 2023
- Removal of Core Lithium and Sayona from ASX 200 may explain recent short interest drop due to S&P's March quarter rebalance
- Deep Yellow's substantial short interest decrease attributed to successful $220 million capital raise, addressing short thesis concerns
Welcome back to the Short Seller Series – A recap of the most heavily shorted stocks on the ASX as well as those experiencing significant changes to short interest over the past week.
Short selling data is four days behind today's date because reporting is not mandatory until three business days after the trade. The tables below compare:
Week-on-week (WoW % Chg) changes between 12 March and 5 March
Month-on-month (MoM % Chg) changes between 12 March and 12 February
Most Shorted
Ticker | Company | Short % | WoW % Chg | MoM % Chg |
|---|---|---|---|---|
Pilbara Minerals | 20.63% | -0.26% | 0.04% | |
Syrah Resources | 15.94% | -0.48% | -2.53% | |
Idp Education | 11.86% | 1.05% | 1.93% | |
Flight Centre | 10.42% | 0.54% | 2.01% | |
Liontown Resources | 8.79% | 0.68% | 2.20% | |
Genesis Minerals | 8.78% | -0.57% | -0.50% | |
Core Lithium | 8.37% | 0.03% | -4.34% | |
Australian Clinical Labs | 7.62% | -1.13% | 1.12% | |
Deep Yellow | 7.57% | -2.20% | -1.71% | |
Sayona Mining | 7.55% | 0.20% | -4.12% |
Key themes and takeaways:
Pilbara Minerals and Syrah Resources remain the top two most shorted stocks on the market since late November 2023
Core Lithium and Sayona were removed from the ASX 200 as part of the S&P's March quarter rebalance. This might be the reason behind the recent drop in short interest (e.g. funds that track the ASX 200 are no longer forced to hold these stocks and won't lend their stock out anymore, forcing shorts to be recalled/shorts forced to cover)
Deep Yellow saw a sizeable drop in short interest last week. The company successfully received commitments to raise $220 million at $1.225 per share (3.9% discount to pre-raise close) on 11 March. With the completion of the capital raise, the short thesis surrounding Deep Yellow has been addressed, leading to a normalisation of short interest
Rising Shorts
Short interest is targeting a number of themes including reporting season losers (Inghams, Magellan), gold (St Barbara, Newmont and Regis Resources), structural headwinds (IDP Education – Tighter migration policies, competitive threats).
Ticker | Company | Short % | WoW % Chg | MoM % Chg |
|---|---|---|---|---|
Idp Education | 11.86% | 1.05% | 1.93% | |
St Barbara | 2.18% | 0.90% | 1.49% | |
Judo Capital | 2.68% | 0.85% | 0.79% | |
Cettire | 2.15% | 0.70% | -0.20% | |
Liontown Resources | 8.79% | 0.68% | 2.20% | |
Newmont Corporation | 2.96% | 0.60% | 1.56% | |
Inghams Group | 1.77% | 0.58% | 0.65% | |
Flight Centre | 10.42% | 0.54% | 2.01% | |
Magellan Financial | 3.29% | 0.47% | 2.23% | |
Nick Scali | 3.86% | 0.46% | 2.71% | |
Regis Resources | 1.94% | 0.43% | 0.59% |
Most Covered
SSR Mining, Argosy Minerals and Neometals were removed from the ASX 300 as part of the S&P's March quarter rebalance
Ticker | Company | Short % | WoW % Chg | MoM % Chg |
|---|---|---|---|---|
SSR Mining | 1.33% | -4.10% | 1.00% | |
Deep Yellow | 7.57% | -2.20% | -1.71% | |
Australian Clinical Labs | 7.62% | -1.13% | 1.12% | |
Kogan.com | 0.76% | -0.99% | -1.55% | |
Jervois Global | 0.65% | -0.68% | -0.99% | |
Argosy Minerals | 3.92% | -0.66% | -0.57% | |
Charter Hall | 1.45% | -0.60% | -0.15% | |
Bank of Queensland | 6.20% | -0.58% | -0.29% | |
Virgin Money Uk | 0.51% | -0.58% | -0.53% | |
Genesis Minerals | 8.78% | -0.57% | -0.50% | |
Dicker Data | 0.18% | -0.53% | -0.47% | |
Adbri | 0.13% | -0.53% | -0.92% | |
Neometals | 2.03% | -0.52% | -0.48% | |
Maas Group | 0.81% | -0.51% | -1.31% |
