Short & Caught: The ASX small caps investors are shorting right now
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Short & Caught is Stockhead’s fortnightly recap of which ASX small cap stocks are heavily shorted. Stocks that are shorted have investors betting that they fall.
Shorting works by “selling” stocks you do not actually own in the hope of buying them back at a lower price.
Because shorting is restricted under Australian law, any substantial shorting of stocks is worth knowing about even if you own these stocks and only trade “long”.
Stockhead’s two preferred metrics are raw short interest as well as percentage changes in them within the last month.
The most shorted
With the graphite and lithium markets in a lull, Syrah Resources (ASX:SYR) and Galaxy Resources (ASX:GXY) take up spots one and two among the most shorted. Both have over 60 million shares shorted.
Earlier this month, Syrah revealed that due to falling prices it would be cutting production, and shares fell over 30 per cent. After reaching $1.30 in April, Syrah shares now sit at 50c.
Dacian Gold (ASX:DCN) is also heavily shorted but has continued to rise after falling as low as 38c this year due to production cuts. But it helps to mine a commodity that is going up rather than down.
Among the most shorted non-resources stocks included LiveTiles (ASX:LVT), which announced a $50m capital raise last week, and retailers Myer (ASX:MYR) and Adairs (ASX:ADH).
FBR (ASX:FBR) has begun to creep up the list as it continues to bleed cash and is still at a pre-revenue stage.
| Code | Name | Price | Short Interest (Shares) | Short Interest 1 Month Chg % | Market Cap |
|---|---|---|---|---|---|
| SYR | SYRAH RESOURCES LTD | 0.51 | 66.10M | 7.99 | 208.75M |
| GXY | GALAXY RESOURCES LTD | 1.15 | 63.75M | 2.61 | 466.81M |
| MYR | MYER HOLDINGS LTD | 0.6 | 59.68M | 0.01 | 488.66M |
| CLQ | CLEAN TEQ HOLDINGS LTD | 0.33 | 43.61M | 2.9 | 257.53M |
| INR | IONEER LTD | 0.17 | 39.19M | -0.82 | 250.75M |
| NCZ | NEW CENTURY RESOURCES LTD | 0.28 | 38.25M | 20.44 | 178.44M |
| FAR | FAR LTD | 0.06 | 36.97M | -35.88 | 370.54M |
| ANL | AMANI GOLD LTD | 0 | 33.33M | 0 | 15.64M |
| AJM | ALTURA MINING LTD | 0.08 | 32.37M | -11.77 | 174.41M |
| MLX | METALS X LTD | 0.17 | 32.08M | 0.16 | 128.95M |
| GRR | GRANGE RESOURCES LTD | 0.22 | 28.41M | 0.84 | 260.40M |
| MRM | MMA OFFSHORE LTD | 0.2 | 28.26M | -1.63 | 171.62M |
| LNG | LIQUEFIED NATURAL GAS LTD | 0.26 | 26.62M | -9.52 | 149.76M |
| ALG | ARDENT LEISURE GROUP LTD | 1.02 | 26.32M | 24.76 | 491.70M |
| PDN | PALADIN ENERGY LTD | 0.12 | 21.62M | 8.06 | 237.23M |
| SDA | SPEEDCAST INTERNATIONAL LTD | 1.21 | 20.26M | 1.57 | 280.50M |
| EWC | ENERGY WORLD CORP LTD | 0.09 | 19.17M | 3.49 | 152.63M |
| SEA | SUNDANCE ENERGY AUSTRALIA LT | 0.21 | 18.87M | -33.38 | 137.51M |
| DCN | DACIAN GOLD LTD | 1.6 | 17.87M | 13.02 | 330.36M |
| BOT | BOTANIX PHARMACEUTICALS LTD | 0.23 | 15.10M | 27.91 | 226.66M |
| AMI | AURELIA METALS LTD | 0.49 | 13.23M | 33.42 | 419.24M |
| BWX | BWX LTD | 3.51 | 12.49M | -8.47 | 438.60M |
| LVT | LIVETILES LTD | 0.42 | 11.12M | 53.33 | 270.87M |
| SLC | SUPERLOOP LTD | 1.01 | 11.03M | 13.83 | 255.83M |
| CLH | COLLECTION HOUSE LTD | 1.25 | 10.74M | 0 | 176.93M |
| ADH | ADAIRS LTD | 1.84 | 9.06M | 26.58 | 298.57M |
| SPL | STARPHARMA HOLDINGS LTD | 1.12 | 8.40M | 3.26 | 421.90M |
| CAI | CALIDUS RESOURCES LTD | 0.03 | 8.37M | 0 | 62.26M |
| IPD | IMPEDIMED LTD | 0.17 | 6.59M | 0.34 | 88.77M |
| STX | STRIKE ENERGY LTD | 0.27 | 6.58M | 877.07 | 409.20M |
| PPS | PRAEMIUM LTD | 0.48 | 5.49M | 63.65 | 193.80M |
| JHC | JAPARA HEALTHCARE LTD | 1.17 | 4.80M | 18.9 | 316.69M |
| AYS | AMAYSIM AUSTRALIA LTD | 0.39 | 4.67M | 7.79 | 112.14M |
| FBR | FBR LTD | 0.07 | 4.32M | 6.89 | 98.25M |
| MSV | MITCHELL SERVICES LTD | 0.05 | 4.03M | 8.23 | 97.57M |
The newly shorted
Among the stocks that are now being targeted is virtual networking tech stock Netlinkz (ASX:NET), which is one of 2019’s best performers. It is off its July high of 28c.
Initially its rise was sparked by revenue figures nearly 1,800 per cent better compared with two years ago.
In a similar fashion BidEnergy (ASX:BID) went from 7c to $1.60 between January 2018 and February 2019 but is now only 60c. This company is also now a target.
Another tech stock, Bigtincan (ASX:BTH), may have won a contract with Nike but shorters have begun to short the stock in recent weeks.
Troy Resources (ASX:TRY) is also a newly shorted stock. Heavy rainfall has meant gold production has been less than anticipated.
| Code | Name | Price | Short Interest (Shares) | % Change 1 Month | Market Cap |
|---|---|---|---|---|---|
| DNA | DONACO INTL LTD | 0.06 | 173.55k | 10,177,100 | 48.59M |
| BTH | BIGTINCAN HOLDINGS LTD | 0.6 | 42.53k | 4,252,900 | 155.85M |
| DNK | DANAKALI LTD | 0.65 | 18.49k | 1,650,400 | 173.79M |
| BLK | BLACKHAM RESOURCES LTD | 0.01 | 730.77k | 174,884.14 | 46.28M |
| MCP | MCPHERSON'S LTD | 2.22 | 20.74k | 15,988.03 | 234.19M |
| QMS | QMS MEDIA LTD | 0.85 | 89.07k | 14,487.38 | 292.83M |
| NEU | NEUREN PHARMACEUTICALS LTD | 2 | 231 | 4,515.38 | 204.79M |
| EVS | ENVIROSUITE LTD | 0.28 | 221.39k | 3,635.45 | 110.66M |
| TRY | TROY RESOURCES LTD | 0.12 | 72.92k | 2,586.27 | 62.17M |
| PAC | PACIFIC CURRENT GROUP LTD | 6.6 | 5.51k | 1,377.48 | 306.82M |
| MXI | MAXITRANS INDUSTRIES LTD | 0.23 | 10.00k | 1,193.66 | 43.49M |
| BID | BIDENERGY LTD | 0.61 | 13.34k | 1,191 | 69.77M |
| AGY | ARGOSY MINERALS LTD | 0.08 | 18.00k | 1,169.39 | 81.16M |
| PNR | PANTORO LTD | 0.21 | 1.10M | 934.86 | 241.07M |
| STX | STRIKE ENERGY LTD | 0.27 | 6.58M | 877.07 | 409.20M |
| SXE | SOUTHERN CROSS ELECTRICAL | 0.61 | 1.20k | 856.8 | 138.49M |
| PPK | PPK GROUP LTD | 3.83 | 1.06k | 733.07 | 306.03M |
| LPI | LITHIUM POWER INTERNATIONAL | 0.34 | 569.50k | 499.89 | 85.32M |
| MVP | MEDICAL DEVELOPMENTS INTERNATIONAL | 4.76 | 6.68k | 454.6 | 315.14M |
| IMU | IMUGENE LTD | 0.02 | 3.16M | 384.68 | 83.03M |
| NMT | NEOMETALS LTD | 0.19 | 280.83k | 330.19 | 103.44M |
| JRV | JERVOIS MINING LTD | 0.22 | 955.74k | 306.26 | 147.58M |
| ERF | ELANOR RETAIL PROPERTY FUND | 1.29 | 90.39k | 275.14 | 166.06M |
| NET | NETLINKZ LTD | 0.17 | 223.64k | 273.97 | 282.54M |
| RUL | RPMGLOBAL HOLDINGS LTD | 0.76 | 30.58k | 258.02 | 166.65M |
| SMN | STRUCTURAL MONITORING-CDI | 0.87 | 1.69k | 255.03 | 93.14M |
| DEG | DE GREY MINING LTD | 0.06 | 394.88k | 253.33 | 52.56M |
| HWK | HAWKSTONE MINING LTD | 0.01 | 1.98M | 228.24 | 10.35M |
| CAJ | CAPITOL HEALTH LTD | 0.23 | 240.27k | 227.68 | 180.58M |
