Image source: Getty Images
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 23.3%, which is up week on week once again. There are concerns over the outlook for this uranium producer's production beyond 2026.
- Pilbara Minerals Ltd (ASX: PLS) has short interest of 15.8%, which is down week on week. Short sellers continue to target this lithium miner on the belief that lithium prices won't recover meaningfully in the near term.
- Domino's Pizza Enterprises Ltd (ASX: DMP) has short interest of 14.7%, which is up week on week again. Short sellers will have been disappointed to see this pizza chain operator's shares jump last week on takeover speculation.
- Guzman Y Gomez Ltd (ASX: GYG) has short interest of 12.6%, which is down slightly since last week. Valuation concerns appear to be behind this. Though, that didn't stop Macquarie Group Ltd (ASX: MQG) putting an outperform rating on its shares last week.
- Paladin Energy Ltd (ASX: PDN) has short interest of 12.2%, which is up week on week. Short sellers seem to be betting against a uranium bull market.
- IDP Education Ltd (ASX: IEL) has 11.8% of its shares held short, which is down week on week again. Short sellers have done well with this one. The language testing and student placement company's shares have fallen 60% in 12 months after student visa changes impacted sales volumes.
- Flight Centre Travel Group Ltd (ASX: FLT) has short interest of 10.5%, which is down slightly since last week. This appears to be due to concerns that the travel agent giant is facing structural headwinds.
- PWR Holdings Ltd (ASX: PWH) has short interest of 10.2%, which is down week on week. This motorsport products company's shares performance in FY 2025 was disappointing. Unfortunately, FY 2026 is expected to be another transitional period.
- Polynovo Ltd (ASX: PNV) has short interest of 10.2%. This medical device company's shares trade on an estimated 60x forward earnings multiple. Short sellers appear to believe this isn't justified.
- Iluka Resources Ltd (ASX: ILU) has short interest of 10%, which is down week on week. Last month, this mineral sands producer scrapped its synthetic rutile guidance.
