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A Peek into the ASX Short Selling Landscape: Key Movements and Insights
In this latest edition of our Short Seller Series, we delve into the ASX’s most heavily shorted stocks, alongside notable fluctuations in short interest over the past week. It’s important to remember that short selling information lags by four days due to reporting requirements, which only take effect three business days after a trade occurs.
Overview of Short Selling Trends
This analysis evaluates:
- Week-on-week trends from April 28 to May 5, 2025.
- Month-on-month changes from April 7 to May 5, 2025.
- The most shorted stocks experiencing changes of 0.5% or more.
Most Shorted Stocks
Here’s a summary of the ASX’s most shorted stocks, their current short percentage, and the changes observed:
| Ticker | Company | Short % | Week-on-Week | Month-on-Month |
|---|---|---|---|---|
| BOE | Boss Energy | 24.85% | -0.78% | -0.75% |
| PDN | Paladin Energy | 16.24% | -0.16% | -0.48% |
| MIN | Mineral Resources | 13.49% | 0.04% | 0.25% |
| DYL | Deep Yellow | 12.41% | -0.09% | -0.95% |
| LTR | Liontown Resources | 12.36% | 0.44% | 0.58% |
| IEL | IDP Education | 12.32% | 0.64% | -0.75% |
| PLS | Pilbara Minerals | 11.53% | -0.40% | -1.04% |
| PNV | Polynovo | 10.35% | 0.19% | 1.14% |
| DMP | Domino’s Pizza | 10.13% | 0.03% | 0.12% |
| LIC | Lifestyle Communities | 9.92% | -0.38% | -0.37% |
Key Takeaways:
- Boss Energy Sees Short Interest Decline: The decrease in Boss Energy’s short interest correlates with a remarkable share price rise exceeding 30% since mid-April, spurred by an ~8% uptick in uranium futures.
- IDP Education’s Short Interest Rises: Despite a 17% surge in share prices post-election, which reduced risks to student visa numbers, IDP Education experienced an uptick in short interest, contrary to positive market sentiments.
Rising Short Interest
The following table highlights stocks that have seen increasing short interest:
| Ticker | Company | Short % | Week-on-Week | Month-on-Month |
|---|---|---|---|---|
| NXT | NextDC | 5.98% | 1.26% | 2.06% |
| ASL | Andean Silver | 2.29% | 1.09% | 1.51% |
| DHG | Domain Holdings | 2.30% | 0.96% | 1.19% |
| IDX | Integral Diagnostics | 2.02% | 0.95% | 0.99% |
| JLG | Johns Lyng Group | 7.68% | 0.77% | 0.77% |
| SLX | Silex Systems | 9.26% | 0.69% | 0.50% |
| IEL | IDP Education | 12.32% | 0.64% | -0.75% |
| CTD | Corporate Travel Management | 8.28% | 0.56% | 1.01% |
| IPX | Iperionx | 4.99% | 0.54% | 1.91% |
| APX | Appen | 2.26% | 0.54% | 1.36% |
| MAC | MAC Copper | 4.30% | 0.52% | 1.12% |
Key Takeaways:
- NextDC’s Short Interest Rises Despite Positive Updates: Even after a robust trading update indicating a surge in contracted utilisation and forward orders, NextDC continues to face growing short interest.
- Domain’s Short Sellers Under Pressure: The recent signing of a Scheme Implementation Deed by Domain may compel short sellers to cover their positions.
Most Covered Stocks
The following table showcases stocks with significant short covering:
| Ticker | Company | Short % | Week-on-Week | Month-on-Month |
|---|---|---|---|---|
| LOT | Lotus Resources | 9.01% | -1.36% | -2.05% |
| NST | Northern Star Resources | 1.37% | -1.29% | -0.97% |
| LYC | Lynas Rare Earths | 8.77% | -0.80% | -1.23% |
| BOE | Boss Energy | 24.85% | -0.78% | -0.75% |
| ABB | Aussie Broadband | 0.53% | -0.57% | -0.81% |
| JHX | James Hardie | 7.08% | -0.54% | -0.30% |
Key Takeaways:
- Minimal Short Covering Activity: The overall sentiment of short covering has been restrained this week with only minor shifts observed.
- Lotus Resources’ Short Interest Eases: In line with a recovery in uranium spot prices, short interest in Lotus Resources has seen a reduction from record levels.
- Northern Star’s Short interest Plummets: A notable decline in short interest for Northern Star reflects the successful completion of its acquisition strategy, enhancing market confidence.
In summary, current trends highlight significant shifts in short selling dynamics within the ASX. Investors are closely watching these movements, which can provide valuable insights into market expectations and potential stock performance.
