Estimated short interest on Stitch Fix spikes by over 40%
Welcome to the inaugural edition of “The Short Interest Report" - The Fly's weekly recap of short interest trends among some of the most widely followed high-short-float stocks.
Using data from partnerOrtex.com, which utilizes the latest information from stock lenders to estimate short interest changes for thousands of publicly traded companies, this initial report will summarize the biggest changes among the most high-profile heavily shorted stocks. In the future, we will also look beyond the names which have already attracted the attention of traders looking to fade or join the short sellers and expand our coverage to include the stocks where the short interest is just building.
This initial report will cover the five-day trading period that spans April 8 through April 15 before shifting to a period that will cover the five-day trading span that ends on a Thursday. For context, the S&P 500 index was up 1.1%, the Russell 2000 index was up 1.1%, the Russell 1000 Growth ETF (IWF) was up 2.0%, and the Russell 1000 Value ETF (IWD) was up 0.7% in the period range.
STITCH FIX ESTIMATED SHORT INTEREST UP 44%: While relatively lower next to the more high-profile names, short interest on Stitch Fix (SFIX) rose in all five trading sessions from 11.9% to 17.2% during the covered period, with days-to-cover ratio also registering the second biggest increase in our screen, rising by 23% to 1.62 from 1.31. Shares of Stitch Fix were down 8.2% in the 5-day trading period covered.
BED BATH & BEYOND DAYS TO COVER RATIO UP 27%: Estimated short interest in Bed Bath & Beyond (BBBY) rose 24.6% to 25.0%, while the days-to-cover ratio rose 27% to 0.92 – the highest margin in our initial screen. The estimated short interest is now within two percentage points of a two-month high reached on March 11. Note that the company reported a mixed set of Q4 results earlier this week, with the stock opening lower by about 14% following the announcement. Shares of Bed Bath & Beyond were down 14.4% in the five-day trading period covered.
ROOT SHORT INTEREST STILL ELEVATED BUT OFF ITS HIGHS: Estimated short interest in Root (ROOT) has retreated to 67.8% from 71.0% but remains alarmingly high ever since its steady build from the 17.5% low on February 8 had first started. The short interest days to cover ratio has also risen by over 11% in the 5-day period to the highest level of 2021 at 5.62. Shares of Root were down 8.1% in the five-day trading period covered.
SECOND SIGHT SHORT INTEREST BUILDING TOWARD HIGHS: Short interest in Second Sight (EYES) has started to build once again, rising in all 5 trading sessions through April 14 to a one-month high of 15.2% - a 16.7% increase for the week. Estimated short interest in the stock peaked in mid-March to just below the 24% level before a week-long pullback to 8.7%. Shares of Second Sight were down 1.1% in the five-day trading period covered.
SUNPOWER ESTIMATED SHORT INTEST BACK ABOVE 20%: Short interest in SunPower (SPWR) returned above the 20% threshold for the first time in a one-week period, rising about 17% to 23.1%. SunPower days to cover ratio also increased by 17% to 2.96 – the highest level in over two months. Shares of SunPower were down 3.8% in the 5-day trading period covered.
Keywords: Short selling, short interest, days to cover, securities, lending, utilization, GameStop, AMC, Ortex, Stitch Fix, Bed Bath Beyond, Root, Second Sight, SunPower, sentiment analysis