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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 25.93%, which is up week on week. Short sellers have increased their positions after the uranium producer released a very disappointing update on the Honeymoon Project.
- Domino's Pizza Enterprises Ltd (ASX: DMP) has seen its short interest rise slightly to 17.9%. This pizza chain operator has been struggling in recent years and short sellers don't appear to believe its performance is going to improve meaningfully in the near term.
- Guzman Y Gomez Ltd (ASX: GYG) has short interest of 13.4%, which is up slightly week on week again. This may have been driven by valuation concerns given the sky-high multiples the burrito seller's shares trade on.
- Paladin Energy Ltd (ASX: PDN) has short interest of 13.4%, which is up slightly week on week again. Some short sellers appear to be betting against nuclear power adoption and a uranium bull market.
- IDP Education Ltd (ASX: IEL) has 12% of its shares held short, which is up week on week. This language testing and student placement company's shares have been crushed in the last two years amid concerns over student visa changes.
- Polynovo Ltd (ASX: PNV) has short interest of 11.4%, which is up since last week. This medical device company's shares are trading on high price-to-earnings multiples. It seems that some investors don't believe this is justified.
- PWR Holdings Ltd (ASX: PWH) has short interest of 11.2%, which is down since last week. This motorsport products company is going through a transitional period, which is impacting its growth.
- IPH Ltd (ASX: IPH) has seen its short interest remain flat at 11.2%. This intellectual property services provider is battling weak trading conditions, which is weighing on its financial performance.
- Telix Pharmaceuticals Ltd (ASX: TLX) has short interest of 11%, which is down week on week. It has been a tough year for this radiopharmaceuticals company, with delays to FDA approvals and regulatory scrutiny.
- Flight Centre Travel Group Ltd (ASX: FLT) has short interest of 10.8%, which is down week on week again. Short sellers have started to close positions after the travel agent reported a positive start to FY 2026 and a new acquisition.
