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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.
This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn't quite right with a company.
With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:
- Boss Energy Ltd (ASX: BOE) has returned to the top spot after its short interest surged to 19.4%. Short sellers appear to believe that this uranium producer's shares are heading even lower. This is despite them crashing deep into the red last month after its guidance for FY 2026 fell materially short of expectations.
- Paladin Energy Ltd (ASX: PDN) has seen its short interest rise to 17.5%. This appears to have been driven by concerns over the ramp up of the uranium miner's Langer Heinrich Mine project.
- Pilbara Minerals Ltd (ASX: PLS) has seen its short interest ease to 15%. Weak lithium prices continue to weigh heavily on both sentiment and profitability.
- Liontown Resources Ltd (ASX: LTR) has short interest of 13.1%, which is flat week on week. This lithium miner's shares are rocketing today after a very strong night of trade for lithium stocks on Wall Street on Friday due to the closure of a major mine.
- IDP Education Ltd (ASX: IEL) has 12.4% of its shares held short, which is up week on week. Tough trading conditions have hit the profits of this language testing and student placement company.
- Mineral Resources Ltd (ASX: MIN) has short interest of 12.3%, which is down week on week. Balance sheet concerns and weak commodity prices have been weighing on sentiment.
- Lifestyle Communities Ltd (ASX: LIC) has seen its short interest remain flat at 11.7%. This retirement living company's shares have been under pressure this year after it lost a major court battle.
- Polynovo Ltd (ASX: PNV) has 11.5% of its shares held short, which is up week on week again. This appears to have been driven by valuation concerns.
- IDP Education Ltd (ASX: IEL) has 11.7% of its shares held short, which is down week on week. Tough trading conditions have been weighing heavily on this language testing and student placement company's performance.
- Silex Systems Ltd (ASX: SLX) has seen its short interest remain flat at 11.5%. This uranium enrichment technology company's shares tumbled last week after it raised capital.
- Corporate Travel Management Ltd (ASX: CTD) has short interest of 8.9%, which is down week on week. There are concerns that corporate travel demand could be softening due to tariff uncertainty.
