Do you own the 10 most shorted shares on the ASX?

The Syrah Resources Ltd (ASX:SYR) share price and the Myer Holdings Ltd (ASX:MYR) share price are two of ten being tipped to sink lower by short sellers…

a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

At the start of the week I like to take a look at which shares short sellers are tipping to decline in value over the coming months.

According to the most recent data from ASIC, these are the 10 most shorted shares on the ASX at present:

  • Syrah Resources Ltd (ASX: SYR) has become the most shorted share on the ASX with short interest of 19.3%. Delays at its massive Balama graphite project are likely to be behind the rise.
  • Orocobre Limited (ASX: ORE) has seen its short interest fall to 18.7%. The lithium miner has come under attack from short sellers this year due to a number of production downgrades.
  • Western Areas Ltd (ASX: WSA) has experienced a sharp decline in short interest to 18.4%. With the nickel miner's shares up 25% since June 22, short sellers appear to have been cutting their losses.
  • Myer Holdings Ltd (ASX: MYR) once again has 16.6% of its shares in the hands of short sellers. Short interest in the department store operator built after its recent full-year profit guidance downgrade.
  • Independence Group NL (ASX: IGO) has seen short interest fall slightly to 14.1%. The gold miner disappointed the market this year with delays at its Nova operation and its increasing all-in sustaining costs.
  • Retail Food Group Limited (ASX: RFG) has 12.5% of its shares held short. The food and beverage company's shares are down sharply this year due to a surprise profit downgrade.
  • Ardent Leisure Group (ASX: AAD) has short interest of 11.7%, down slightly for a second week in a row. Management recently revealed that this year the company expects to deliver core EBITDA of $76 million, ahead of its guidance of $73 million to $75 million.
  • Select Harvests Limited (ASX: SHV) has surged into the top ten with short interest of 11.6%. Despite the almond producer's shares falling 35% this year, short sellers appear to believe they can fall further.
  • Galaxy Resources Limited (ASX: GXY) has climbed into the top ten with short interest of 11.6%. Although the lithium miner has a high level of short interest, I still think it is one of the better options in the sector.
  • iSentia Group Ltd (ASX: ISD) has 11.5% of its shares held short. A surprise full-year profit downgrade appears to be the catalyst for the sudden increase in short interest.
Motley Fool contributor James Mickleboro owns shares of Galaxy Resources. The Motley Fool Australia owns shares of Retail Food Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »