Hedge funds are always looking for opportunities to short stocks they believe are overvalued. But which stocks do they view as most and least vulnerable to declines? Getting insight into the short positions of hedge funds can provide valuable information for investors. We’ll reveal the 10 most and least shorted stocks by hedge funds based on recent data.
According to Bank of America, Ralph Lauren (NYSE:RL) tops the list as the most shorted stock by hedge funds right now. By screening the S&P 500 (NYSEARCA:SPY) for short interest through September, BofA estimates that hedge funds are responsible for about 85% of total short positions in stocks.
Using this data on short interest, we compiled a list of the stocks hedge funds seem to be betting are most overvalued and primed for declines. We also look at those stocks they view as least likely to fall, with minimal short interest. Read on for the 10 most and least shorted stocks according to the smart money.
Most Shorted Stocks
- Ralph Lauren (RL), short interest as % of float 12.8%
- Paramount Global (PARA) 12.4%
- SolarEdge Technologies (SEDG) 12.1%
- American Airlines (AAL) 11.7%
- Pool (POOL) 11.3%
- CarMax (KMX) 10.7%
- Tractor Supply (TSCO) 10.4%
- Norwegian Cruise Line Holdings (NCLH) 10.3%
- Carnival (CCL) 10.1%
- C.H. Robinson Worldwide (CHRW) 10%
Least Shorted Stocks
- Philip Morris International (NYSE:PM) 0.39%
- Mastercard (MA) 0.51%
- Motorola Solutions (MSI) 0.51%
- Alphabet (GOOG) 0.52%
- Intercontinental Exchange (ICE) 0.53%
- Raytheon Technologies (RTX) 0.53%
- Microsoft (MSFT) 0.53%
- Marsh & McLennan (MMC) 0.53%
- Coca-Cola (KO) 0.53%
- Chubb (CB) 0.54%
