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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) remains the most shorted ASX share with short interest of 19.8%. This is up week on week. This uranium producer's production outlook is uncertain beyond 2026 and short sellers appear to be expecting the worst.
- Pilbara Minerals Ltd (ASX: PLS) has short interest of 17.2%. Short sellers have been loading up on this lithium miner's shares amid concerns over an oversupply of lithium. This wasn't helped by the reopening of a major mine in China.
- Domino's Pizza Enterprises Ltd (ASX: DMP) has short interest of 14%, which is up sharply week on week. This pizza chain operator has been struggling in recent years and short sellers don't appear to believe the hard times are over.
- IDP Education Ltd (ASX: IEL) has 12.7% of its shares held short, which is flat week on week. This language testing and student placement company has been battling tough trading conditions caused by visa changes.
- Guzman Y Gomez Ltd (ASX: GYG) has jumped into the top ten with short interest of 12.6%. This burrito seller's shares trade on sky-high multiples and short sellers don't appear to believe this is justified.
- Paladin Energy Ltd (ASX: PDN) has short interest of 12.2%, which is down week on week. Short sellers seem to be betting against a uranium bull market.
- Iluka Resources Ltd (ASX: ILU) has short interest of 11.7%, which is down week on week. Last week, this mineral sands producer's shares tumbled after it scrapped its synthetic rutile guidance.
- Flight Centre Travel Group Ltd (ASX: FLT) has short interest of 10.6%, which is up week on week. The market may have doubts around this travel agent giant's recovery.
- PWR Holdings Ltd (ASX: PWH) has short interest of 10.4%, which is up week on week. This motorsport products company recently warned that FY 2026 will be another transition year.
- Mineral Resources Ltd (ASX: MIN) has short interest of 9.9%, which is down on week. Leadership concerns, weak commodity prices, and a precarious balance sheet could be behind this.
