The 10 most shorted ASX stocks plus the biggest risers and fallers – Week 40
The China stimulus rally led to very little short covering across names like Pilbara Minerals and MinRes.
Source: iStock
Mentioned
KEY POINTS
- The China stimulus rally led to very little short covering. Short interest in MinRes has ticked higher despite its shares soaring more than 30%
- Short sellers continue to target uranium stocks amid valuation concerns and geopolitical risks
- Fortescue stands as one of the only majors to experience a meaningful pullback in short interest
Welcome back to the Short Seller Series – A recap of the most heavily shorted stocks on the ASX and 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 will compare:
Week-on-week changes between 24 September and 1 October 2024
Month-on-month changes between 3 September and 1 October 2024
Most Shorted
Ticker | Company | Short % | Week-on-Week | Month-on-Month |
|---|---|---|---|---|
Pilbara Minerals | 19.36% | -0.15% | -1.12% | |
Idp Education | 14.26% | -0.20% | 0.36% | |
Paladin Energy | 13.97% | 0.95% | 4.13% | |
Mineral Resources | 13.18% | 0.81% | 4.97% | |
Boss Energy | 12.88% | 1.62% | 3.35% | |
Syrah Resources | 12.32% | -0.26% | -0.50% | |
Lynas Rare Earths | 10.18% | -0.49% | -0.41% | |
Liontown Resources | 10.11% | -0.02% | -0.74% | |
Deep Yellow | 9.79% | 0.92% | 1.42% | |
Cettire | 8.88% | -0.18% | -0.85% |
Key takeaways:
Pilbara Minerals and IDP Education remain the two most shorted stocks on the market. The two stocks have retained the top spots since early February
The China stimulus rally led to very little short covering. Pilbara Minerals shares rallied 13% week-on-week (24 Sep – 1 Oct), yet its short interest only eased 0.15%. MinRes shares surged 31.7% over the same period, but its short interest increased by 0.8%
Rising Shorts
Ticker | Company | Short % | Week-on-Week | Month-on-Month |
|---|---|---|---|---|
Boss Energy | 12.88% | 1.62% | 3.35% | |
Virgin Money | 1.82% | 1.52% | 1.49% | |
Rio Tinto | 6.45% | 1.11% | 1.13% | |
Lotus Resources | 8.41% | 1.10% | 1.06% | |
Paladin Energy | 13.97% | 0.95% | 4.13% | |
Deep Yellow | 9.79% | 0.92% | 1.42% | |
Westgold Resources | 2.59% | 0.89% | -0.06% | |
Mineral Resources | 13.18% | 0.81% | 4.97% | |
Bannerman Energy | 2.01% | 0.77% | 1.06% | |
Peninsula Energy | 1.96% | 0.59% | 0.19% | |
Ampol | 3.40% | 0.52% | 1.64% | |
Corporate Travel | 5.25% | 0.50% | 0.03% | |
Champion Iron | 4.91% | 0.49% | 0.34% | |
Whitehaven Coal | 2.66% | 0.42% | 0.50% |
Key takeaways:
Short sellers continue to target uranium stocks. Their thesis likely stems from the view that these companies are fully valued after a strong run-up in recent years, coupled with the lack of spot price momentum (currently US$82.5/lb versus YTD highs of US$105/lb).
Uranium names like Paladin Energy and Deep Yellow are also based in Namibia. The country's upcoming November election could introduce complications, including potential risks such as the introduction of a Government free-carry interest or an increase in mining taxes.
Most Covered
Ticker | Company | Short % | Week-on-Week | Month-on-Month |
|---|---|---|---|---|
Clinuvel Pharmaceuticals | 4.30% | -1.48% | -1.51% | |
Chalice Mining | 7.30% | -1.20% | -2.55% | |
Anson Resources | 0.57% | -1.13% | 0.04% | |
Fletcher Building | 2.40% | -0.74% | -0.08% | |
Select Harvests | 3.70% | -0.70% | -0.38% | |
Treasury Wine Estates | 3.19% | -0.70% | -0.05% | |
Charter Hall | 1.44% | -0.70% | 0.57% | |
EML Payments | 1.81% | -0.67% | -0.80% | |
APM Human Services | 0.03% | -0.62% | -0.63% | |
Fortescue | 0.82% | -0.57% | -0.62% |
Key takeaways:
Chalice Mining stands out as the only name experiencing sizeable short covering amid the China-led rally. During the week of 24 Oct – 1 Sep, Chalice shares rallied 17.3% to reach a three-month high.
Fortescue's short interest recently spiked to a near two-year high of 1.73%, equating to approximately 53.3 million shorted shares worth about $1.06 billion. The subsequent dip in short interest indicates that short sellers were forced to cover during the recent Fortescue and iron ore rally
