These are the 10 most shorted ASX shares

Domino's Pizza Enterprises Ltd (ASX:DMP), JB Hi-Fi Limited (ASX:JBH), and Syrah Resources Ltd (ASX:SYR) shares are among 10 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 each week I like to look at ASIC's short position report to find out which shares are being targeted by short sellers.

Whilst short sellers don't always get it right, there have been a number of high profile success stories over the last 12 months.

In light of this, I think it is well worth keeping a close eye on short interest levels. These are the 10 most shorted shares on the ASX this week:

  • Syrah Resources Ltd (ASX: SYR) has retained the top spot for another week with short interest of 19.5%. Short sellers will no doubt have been pleased to see the graphite miner recently downgrade its full-year production guidance.
  • JB Hi-Fi Limited (ASX: JBH) has seen its short interest rise slightly to 19.1%. Today is a big day for short sellers with the embattled retailer due to release its full-year results. A surprisingly good result could lead to a potential short squeeze.
  • Galaxy Resources Limited (ASX: GXY) has seen its short interest rise to 16.9%. Although Galaxy has a lot going for it at the moment, short sellers appear to be betting that future lithium prices will undo this.
  • Orocobre Limited (ASX: ORE) has short interest of 15.4%, up sharply week-on-week for a second week in a row. Short interest continues to rise despite Orocobre recently announcing a record sales result with record prices received for its lithium.
  • Domino's Pizza Enterprises Ltd (ASX: DMP) has seen its short interest increase slightly week-on-week to 15.2%. Later this week the pizza chain operator will release its highly anticipated full-year results. Short sellers still appear confident that it will fall short of expectations either with its results or FY 2019 guidance.
  • Inghams Group Ltd (ASX: ING) has 13.1% of its shares held short, up week-on-week. The sudden exit of the poultry producer's CEO and competitive pricing appears to have caught the attention of short sellers.
  • Metcash Limited (ASX: MTS) has seen its short interest rise week-on-week to 11.8%. The probable loss of the Drakes SA supply contract continues to weigh on investor sentiment.
  • Myer Holdings Ltd (ASX: MYR) has seen its short interest fall for a second week in a row to 11.5%. The department store operator's shares are up 14% since this time last month, possibly indicating that some short sellers feel it has bottomed now.
  • Greencross Limited (ASX: GXL) has short interest of 11.2%, up again week-on-week. The struggling integrated pet care company looks set to release a disappointing full-year result later this month due to weakness in its veterinary business.
  • Vocus Group Ltd (ASX: VOC) has seen its short interest slide to 10.5%. The telco company has been tipped by a few brokers to disappoint when it releases its results later this month.
Motley Fool contributor James Mickleboro owns shares of Galaxy Resources Limited. The Motley Fool Australia owns shares of and has recommended Greencross Limited and Vocus Communications Limited. The Motley Fool Australia has recommended Domino's Pizza Enterprises 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 Scott Phillips.

More on Share Market News

A happy young couple lie on a wooden deck using a skateboard for a pillow.
Share Gainers

These were the best-performing ASX 200 shares in March

These shares made their shareholders smile in March thanks to some very big gains.

Read more »

Businessman using a digital tablet with a graphical chart, symbolising the stock market.
Opinions

2 ASX shares I have been buying in 2024!

I’m a believer in the long-term outlook of these stocks.

Read more »

Stock market chart in green with a rising arrow symbolising a rising share price.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a massive day for the ASX 200, with a new all-time high recorded.

Read more »

A man sits thoughtfully on the couch with a laptop on his lap.
Technology Shares

This ASX tech stock rocketed 60% in March! Can it keep on delivering?

After soaring in March, the ASX tech stock is now up 169% since this time last year.

Read more »

Broker Notes

Brokers name 3 ASX shares to buy now

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Burgundy Diamond Mines, Clarity Pharmaceuticals, EML, and Zip are sinking today

These ASX shares are ending the week in the red. But why?

Read more »

A young women pumps her fists in excitement after seeing some good news on her laptop.
Share Gainers

Why Mesoblast, Newmont, Pilbara Minerals, and Platinum shares are jumping

These ASX shares are ending the week strongly. But why?

Read more »

a young boy dressed up in a business suit and tie has a cute grin and holds two fingers up.
Opinions

2 of my top ASX 200 shares to consider buying before April

I would happily exchange dollars for these two shares right now.

Read more »