It recently named a number of smaller companies that it believes offer attractive upside.

Here are three ASX shares that have been given the thumbs up:

AMA Group Ltd (ASX: AMA)

This accident repair business is one of Bell Potter's preferred smaller ASX shares.

The broker sees value in AMA Group as the company continues to improve following a difficult period, with its scale and integration capability giving it leverage to better conditions.

Commenting on AMA Group, Bell Potter said:

AMA Group is the largest accident repair group in Australia with approximately 138 vehicle panel repair shops. The company also has a presence in New Zealand with 5 vehicle panel repair shops. AMA sold its manufacturing business in 1HFY21 and its remanufacturer of automatic transmissions – called Fluid Drive – in 1HFY23 so is now almost a pure play accident repair group. The only part of the company outside of panel repair is the Supply business – called ACM parts – which sells a range of new, aftermarket and recycled parts and consumables.

This business now, however, is flagged for sale. The company has a strong track record of successful integrations, and any announcements could trigger a rerating from where it currently trades at a discount to its long-term valuation average.

Nick Scali Ltd (ASX: NCK)

This furniture retailer is another ASX share that Bell Potter is positive on.

It likes Nick Scali due to its store rollout plans and expansion opportunities, particularly in the UK. Bell Potter explains:

Nick Scali is an Australian retailer specialising in household furniture and related accessories, operating under the core Nick Scali brand as well as the Plush banner. >90% of sales are completed in-store, with the company maintaining a substantial physical presence with over 100 showrooms across Australia and New Zealand, and has recently expanded into the UK, which now contributes around 8% of total revenue.

Looking ahead, the key growth drivers include the continued roll-out of Nick Scali stores in the UK, supported by the refurbishment of acquired Fabb locations, and the ability to leverage the group's established supply base to drive scale efficiencies and margin expansion.

Universal Store Holdings Ltd (ASX: UNI)

This youth fashion retailer is also rated positively by the broker. Bell Potter sees appeal in Universal Store's rollout strategy, quality metrics, and valuation. The broker said:

Universal Store Holdings is a leading youth focused apparel, footwear and accessories retailer in Australia. UNI will continue to increase store numbers over the next few years, supporting earnings growth of 11% p.a. Valuation looks attractive, trading on a forward P/E of ~13.4x. UNI is a quality small cap (ROE ~26%) that is executing on its rollout strategy.

The post 3 ASX shares Bell Potter rates as top buys appeared first on The Motley Fool Australia.

The company operates in the wholesale vehicle aftercare and accessories market in Australia and New Zealand. 

Its operations include smash repair shops, automotive and electrical components, vehicle protection equipment, and servicing workshops for brakes and transmissions.

The Vehicle Collision Repairs segment is a major revenue driver for the company. It serves major insurance companies through more than 130 vehicle repair sites in all Australian states. 

For the to date, this ASX industrials stock has fallen roughly 34%. 

However, yesterday it recovered an impressive 8%. 

A new report from Bell Potter suggests this could be the beginning of a longer rally. 

Here's what the broker had to say. 

Bell Potter expecting a good third quarter

In yesterday's report from Bell Potter, the broker said it expects this ASX industrials stock to provide a Q3 update later this month. 

It said it continues to expect a good quarter with forecast normalised EBITDA pre-AASB 16 of $17.6m.

Importantly, however, our forecast is well above the Q2 result of $10.4m and reflects the typically seasonally stronger volumes in Q3 which we believe were not materially affected by the war in Iran and higher fuel prices.

Petrol prices a major factor

Bell Potter said higher petrol prices are not expected to materially impact Q3 earnings, with the company still on track to achieve around $17.6m in normalised EBITDA. 

However, there is some risk to Q4 forecasts if fuel prices remain elevated due to the ongoing Iran conflict, as this could reduce driving activity and, in turn, repair volumes.

Despite this risk, the company may still deliver EBITDA above $20m in Q4 if volumes hold up, as the prior corresponding period was affected by a one-off inventory provision. 

Overall, petrol prices are seen as a demand-side risk – affecting how much people drive – rather than a direct cost issue, and a decline in fuel prices would improve the earnings outlook.

Strong upside in tact 

Based on this guidance, Bell Potter has slightly reduced its price target to $1.200 (previously A$1.250). 

The broker has retained its buy recommendation.

Despite this slight decrease, this target indicates a potential upside of approximately 128% from yesterday's closing price of $0.52. 

We have reduced the multiple we apply in the EV/EBITDA valuation from 6x to 5.5x and increased the WACC we apply in the DCF from 10.4% to 10.5% purely for conservatism. We note there is a large difference between the two valuations – $0.92 and $1.47 – but even the lower EV/EBITDA is still a significant premium to the share price. The net result is a 4% decrease in our target price to $1.20 and we retain the BUY recommendation.

The post This ASX industrials stock could be set to double according to one broker appeared first on The Motley Fool Australia.

Well, that's what could happen with the cheap ASX stock in this article, according to analysts at Bell Potter.

Which ASX stock?

The stock that could be seriously undervalued, according to the broker, is AMA Group Ltd (ASX: AMA).

It is the largest accident repair group in Australia with approximately 140 vehicle panel repair shops.

Bell Potter highlights that the market doesn't appear to believe the stock will achieve its earnings guidance in FY 2026. It said:

The current AMA share price suggests the market has some doubt whether the FY26 guidance of normalised EBITDA pre-AASB 16 of $70-75m is achievable after the company reported $30.5m in H1. We, however, believe the guidance is well achievable as, firstly, Q3 and Q4 are typically seasonally strong quarters and, secondly, the guidance only implies a similar underlying 2HFY26 result relative to 2HFY25.

There is actually some prospect of a better 2HFY26 result relative to 2HFY25 after CEO Ray Smith-Roberts suggested on the recent 1HFY26 result call that a margin approaching the medium term target of 10% may be achievable in 4QFY26. Our Q3 and Q4 margin forecasts are 6.7% and 8.3% – which put us comfortably within the guidance range – so a margin closer to 10% in Q4 could see a full year result towards the top end of the range.

Huge potential returns

In light of this, Bell Potter believes the ASX stock deserves to trade on higher multiples and is tipping huge potential returns over the next 12 months.

According to the note, the broker has put a buy rating and $1.25 price target on its shares. Based on its current share price of 62 cents, this implies potential upside of 100% for investors.

Commenting on its buy recommendation, Bell Potter said:

There is also no change in our target price of $1.25 which we only recently updated with the release of the H1 result last month. We note that, at the current share price, the EV/EBITDA multiple – using our pre-AASB 16 forecasts – is only 4.4x in FY26 and 3.8x in FY27. We also note even the PE ratio looks reasonable on 29x in FY26 and 15x in FY27.

And we remind that the Balance Sheet is in good shape with net debt of $21m at 31 December and is expected to be lower at 30 June with the seasonally stronger H2. We also highlight there is the prospect of a resumption of dividends this year with a forecast final dividend of 1.0c depending on M&A activity.

The post Bell Potter says this cheap ASX stock can rocket 100% appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back are listed below. Here's why they are rising:

AMA Group Ltd (ASX: AMA)

The AMA Group share price is up 9% to 10 cents. This may have been driven by a broker note out of Bell Potter this morning. According to the note, its analysts have put a buy rating and 13 cents price target on the smash repair company's shares. It said: "We do not expect any further outlook commentary at the AGM on Monday but do see the share consolidation as a positive. We now look to the Q2 update in late January for an update on volumes."

DroneShield Ltd (ASX: DRO)

The DroneShield share price is up 1.5% to $3.89. Investors have been buying this counter drone technology company's shares following the announcement of another contract win. DroneShield revealed that it has received a $25.3 million contract from a privately owned in-country reseller that is contractually required to distribute the products to a Government defence end customer in a Latin American (LATAM) country. DroneShield's CEO, Oleg Vornik, said: "With this new contract, DroneShield continues to position itself as one of the preferred C-UAS systems in Latin America. As demand continues to evolve, DroneShield is ready to meet the requirements from a region where drones play a key role in the modern warfare."

Pepper Money Ltd (ASX: PPM)

The Pepper Money share price is up 7% to $2.39. The catalyst for this is news that the company has signed an agreement to acquire the RAMS portfolio from Westpac Banking Corp (ASX: WBC) alongside the KKR Consortium. The portfolio comprises approximately $21.4 billion in residential mortgages. Management notes that the "transaction aligns with Pepper Money's strategy to grow its capital-light servicing business, which provides annuity-style earnings, operational scale and diversification benefits."

Westpac Banking Corp

The Westpac share price is up 2.5% to $39.73. This follows the release of the banking giant's full year results this morning. For the 12 months ended 30 September, Westpac reported a 3% increase in net interest income to $19.473 billion but a 1% decline in net profit after tax to $6.989 billion. The latter was a touch ahead of the consensus estimate. Westpac's CEO, Anthony Miller, said: "This has been a solid year at Westpac and I'm pleased with the result we are delivering today. With a very strong balance sheet and momentum in our target segments, the opportunity to deliver more for our customers, people and shareholders is exciting. We're focused on relentless execution of our strategy and delivering every day for our customers."

The post Why AMA, DroneShield, Pepper Money, and Westpac shares are pushing higher today appeared first on The Motley Fool Australia.

That's because the broker has just released its latest top Australian picks from the smaller size of the market. These are its panel of favoured small cap Australian equities that it believes offer attractive returns over the long term.

Two that make the list in October are named below. Here's why it is bullish on them:

AMA Group Ltd (ASX: AMA)

A new addition to its panel is smash repairer AMA Group. The broker thinks that the smash repairer is well-positioned for a turnaround after a tough period.

It also sees opportunities for the company to grow through consolidation in a highly fragmented industry. Especially with its balance sheet expected to be in a net cash position next year. Bell Potter commented:

We see AMA positioned for a turnaround, with the FY25 result showing strength in the core business and runway for margin expansion. AMA is the largest player in the accident repair market, with a 13% share, and is well positioned to lead consolidation in what is a highly fragmented industry. The company has cleaned up the balance sheet after several equity raisings and is expected to enter a net cash position by 2026, providing the capital flexibility for M&A optionality.

Commentary from management has been indicative that the company is actively considering inorganic expansion, and we believe further announcements on this would act as a catalyst for the stock. Situational headwinds from COVID-related labour shortages are now easing, and we see AMA continuing to benefit as repair volumes normalise and international borders reopen to skilled workers. We see potential for upgrades to FY26 guidance, most likely at the half or third quarter update.

DroneShield Ltd (ASX: DRO)

This counter drone technology company makes the list again in October.

Bell Potter likes the growing ASX share due to its strong position in a booming industry. Commenting on the company, the broker said:

DroneShield is an Australian defence manufacturer specialising in counter-drone technology. DRO provides an end-to-end counter-drone solution that integrates proprietary artificial intelligence software with a suite of hardware products utilised to detect, identify and defeat aerial, ground and maritime threats.

The company's products are largely in-house technology and include handheld, vehicular and fixed installations. DRO's customers primarily include military and intelligence, as well as law enforcement, critical infrastructure and commercial parties globally.

The post Bell Potter names the best ASX shares to buy in October appeared first on The Motley Fool Australia.

The outperforming company in question is crash repair and vehicle accessories company AMA Group Ltd (ASX: AMA).

AMA shares closed yesterday trading for 5.9 cents. In earlier trade, shares leapt to 6.7 cents, up 13.6%. After some likely profit-taking, shares are changing hands for 6.5 cents apiece in late afternoon trade, up 8.5%.

This comes following news of a major executive shakeup.

ASX All Ords stock surges on leadership change

Investors are piling into AMA shares after the ASX All Ords stock announced that Mathew Cooper has stepped down from his role as CEO, a position he held for 16 months.

AMA said that Ray Smith-Roberts, currently a non-executive director at the company, has been appointed in Cooper's place to take the role of managing director.

According to the board, Smith-Roberts "has deep operational experience, to oversee this next phase of the development of the company".

The board noted that Smith-Roberts has successfully operated a number of AMA's businesses, and from 2011 to 2019 he served as an executive director.

Potentially spurring investor interest in the ASX All Ords stock today, the board said, "He has a proven track record for extracting efficiency and performance improvements from businesses in this sector, including panel repair."

The company endured a difficult three years between 2021 and early 2024 and has been working to turn its business around.

The company cited the successful transformation of its balance sheet over the past nine months, pointing to:

• The completion of its capital raise and debt extension in August 2024
• The refinancing of its banking facilities on improved terms in February 2025
• The repayment of its $50 million of convertible notes in March 2025
• The expansion of its relationship with Suncorp, announced yesterday

Moving forward, management said, "AMA's turnaround is to focus on further improving the performance of its operations, specifically the AMA Collision business."

What's happening with AMA and Suncorp?

AMA shares closed up 1.7% yesterday after the ASX All Ords stock reported that the update of its Motor Repair Services Agreement (MRSA) with S&P/ASX 200 Index (ASX: XJO) insurer Suncorp Group Ltd (ASX: SUN) had been completed.

Management said the two companies had reaffirmed their commitment to working together.

"We are pleased now to have reaffirmed our AMA Group partnership with Suncorp as we continue to grow our network and deliver the best service possible to Suncorp's customers," Cooper said yesterday, shortly before departing the company.

The post Guess which ASX All Ords stock just rocketed 14% on BIG leadership news appeared first on The Motley Fool Australia.

Four ASX shares that are rising more than most today are listed below. Here's why they are climbing:

AMA Group Ltd (ASX: AMA)

The AMA Group share price is up 7% to 63 cents. This is despite the smash repair company announcing the exit of its CEO, Mathew Cooper, with immediate effect. The market appears pleased with his replacement, Ray Smith-Roberts, who is currently a non-executive director. The company notes that the next stage of its turnaround is to focus on further improving the performance of its operations, specifically the AMA Collision business. Accordingly, AMA believes Ray Smith-Roberts, who has deep operational experience, is the person to oversee this next phase of the development of the company.

Emerald Resources NL (ASX: EMR)

The Emerald Resources share price is up 2.5% to $3.78. This morning, this gold miner revealed that it has now cleared its debts. The final payment has been made under the US$60 million Okvau Debt Facility executed with Sprott Private Resource Lending in June 2019 which allowed for the development of the 100% owned Okvau Gold Mine. Since development, the gold miner has produced over 400k ounces of gold from this mine. Today's payment makes Emerald Resources a debt-free and unhedged gold producer at a time when the precious metal is at a record high. Based upon the current gold price and USD exchange rate, management expects its cashflows will improve by ~A$8 million per month.

Kelsian Group Ltd (ASX: KLS)

The Kelsian Group share price is up almost 5% to $2.69. The catalyst for this has been news that the travel and transport company is exploring divestment options for a portfolio of Australian tourism assets to streamline the business, reduce debt, and improve shareholder value. The businesses currently being considered for divestment include K'gari (Fraser Island) resorts, tours and ferry, SeaLink Sydney Harbour, Murray Princess, Adelaide Sightseeing, SeaLink Western Australia, SeaLink Whitsundays, SeaLink Tasmania, and SeaLink Northern Territory. Collectively, these businesses generated over $160 million in revenue in FY 2024.

Life360 Inc (ASX: 360)

The Life360 share price is up almost 3% to $20.65. Investors have been buying Life360 and other ASX tech stocks on Wednesday following a positive night of trade on the tech-focused Nasdaq index overnight. This has led to the S&P/ASX All Technology Index outperforming the ASX 200 index during trade today.

The post Why AMA, Emerald Resources, Kelsian, and Life360 shares are zooming higher appeared first on The Motley Fool Australia.

Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:

AMA Group Ltd (ASX: AMA)

The AMA share price is down almost 48% to 6.3 cents. This morning, this smash repair company completed a capital raising to clean up its balance sheet. The company raised $55 million at a 37.5% discount of 7.5 cents per new share. AMA will now seek to raise $14.9 million via a retail entitlement offer.

Audinate Group Ltd (ASX: AD8)

The Audinate share price is down 9% to $13.02. This has also been driven by the completion of a capital raising. The audio-visual media networking solutions provider has raised $50 million from institutional investors at $13 per new share. This represents a more palatable 9% discount to its last close price. The proceeds will be used to deliver organic growth through continued strategic investment in new and innovative products.

Data#3 Limited (ASX: DTL)

The Data#3 share price is down 3% to $6.99. This appears to have been driven by the release of a broker note out of Morgans. According to the note, the broker has downgraded the IT solutions company's shares to a hold rating with a $7.00 price target. The broker made the move on valuation grounds.

Platinum Asset Management Ltd (ASX: PTM)

The Platinum share price is down 4.5% to $1.31. Investors have been selling this fund manager's shares following the release of its latest funds under management (FUM) update. According to the release, Platinum's FUM fell 6.3% to $16,679 million in August.

The post Why AMA, Audinate, Data#3, and Platinum shares are dropping today appeared first on The Motley Fool Australia.

Shares in the crash repair and vehicle accessories company entered a trading halt on 31 August pending a capital raise announcement. The ASX All Ords share closed on 30 August trading for 12 cents.

Following the release of that capital raise announcement this morning, the stock crashed to 6.8 cents, down a painful 43.3%.

Any guesses?

If you said AMA Group Ltd (ASX: AMA) go to the head of the virtual class.

Here's why investors are hitting the sell button.

Why is the AMA Group share price crashing on the capital raise?

The ASX All Ords share is under heavy selling pressure after reporting that all the new shares offered under its equity raising will be issued at a price of 7.5 cents.

That's 37.5% below the AMA Group's closing price on its last day of trading. But it's higher than the current share price of 6.8 cents. Investors may be a bit jittery about the initial debt obligations.

According to the release, "Funds raised under the equity raising will be applied to the principal repayment of $35.0 million of existing senior bank debt."

The remaining funds, AMA said, will "provide liquidity and working capital which will be deployed in pursuit of the group's strategy".

The capital raise consists of a fully underwritten institutional placement and an institutional entitlement offer.

The ASX All Ords share said it had received strong support from both existing and new eligible shareholders, raising a total of approximately $55 million.

Management said that it will issue some 234.2 million new shares to new institutional investors and existing institutional shareholders under the placement at the 7.5 cent offer price.

That consists of an unconditional component to raise approximately $15.3 million through the issue of approximately 204.9 million shares. And a conditional component, which requires shareholder approval, to raise approximately $2.1 million through the issue of some 28.4 million shares.

The placement will be conducted concurrently with the institutional entitlement offer.

How has this ASX All Ords share performed longer-term?

Unfortunately for longer-term shareholders, this isn't the first day of sizeable losses for the AMA share price.

Over the past 12 months, the ASX All Ords share has tumbled 67%.

The post Guess which ASX All Ords share just crashed 43%! appeared first on The Motley Fool Australia.

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:

• Core Lithium Ltd (ASX: CXO) has become the most shorted ASX share after its short interest increased week on week to 11.2%. A disappointing update regarding its production plans appears to have attracted short sellers.
• Flight Centre Travel Group Ltd (ASX: FLT) has seen its short interest ease to 10%. Short sellers appear to have been closing their positions after the travel agent giant upgraded its earnings guidance for a second time.
• IDP Education Ltd (ASX: IEL) has 9.8% of its shares held short, which is up slightly week on week. Short sellers have been going after this language testing and student placement company since it lost its testing monopoly in Canada. This is expected to weigh on its earnings in the near term.
• Syrah Resources Ltd (ASX: SYR) has short interest of 9%, which is up materially week on week. Syrah's shares have come under pressure after it was forced to moderate its graphite production due to soft demand and weak prices.
• JB Hi-Fi Limited (ASX: JBH) has short interest of 8.1%, which is down week on week. Short sellers may believe the retailer is struggling because of the cost of living crisis.
• AMA Group Ltd (ASX: AMA) has seen its short interest remain flat at 8%. This crash repair company's poor performance and high debt load could be behind this short interest.
• Select Harvests Ltd (ASX: SHV) has 7.7% of its shares held short, which is flat week on week. Short sellers don't appear to believe this almond producer's poor form will improve any time soon.
• Brainchip Holdings Ltd (ASX: BRN) has seen its short interest rise to 7.5%. This struggling semiconductor company's lack of revenue and big valuation appear to be behind this short interest.
• Lendlease Group (ASX: LLC) has short interest of 7.4%, which is down week on week again. Traders appear concerned that the global property developer could be struggling in the current environment.
• Lake Resources N.L. (ASX: LKE) has returned to the top ten with short interest of 7.3%. Short sellers aren't giving up on this struggling lithium developer despite its shares hitting a two-year low last week.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) continues its long run as the most shorted ASX share with short interest of 10.3%, which is down slightly week on week. Last week, this travel agent giant upgraded its earnings guidance for a second time, much to the dismay of short sellers.
• Core Lithium Ltd (ASX: CXO) has short interest of 10%, which is flat week on week. This appears to have been driven by valuation concerns.
• IDP Education Ltd (ASX: IEL) has 9.6% of its shares held short, which is up slightly week on week. This language testing and student placement company's shares have come under attack since it lost its testing monopoly in Canada.
• JB Hi-Fi Limited (ASX: JBH) has short interest of 8.4%, which is up week on week. Short sellers appear to be betting on this retail giant struggling because of the cost of living crisis.
• AMA Group Ltd (ASX: AMA) has seen its short interest remain flat at 8%. Short sellers appear concerned by this crash repair company's high debt load and poor performance. The latter is being driven by labour shortages and inflationary pressures.
• Select Harvests Ltd (ASX: SHV) has 7.7% of its shares held short, which is flat week on week. This almond producer has been having a tough time in FY 2023 and short sellers appear to believe things could still get worse.
• Lendlease Group (ASX: LLC) has short interest of 7.5%, which is down week on week again. Short sellers seem to be betting on a weak full-year result from this global property developer next month.
• Syrah Resources Ltd (ASX: SYR) has short interest of 7.4%, which is up week on week. Syrah is currently moderating its graphite production due to soft demand and weak prices.
• Brainchip Holdings Ltd (ASX: BRN) has seen its short interest ease a touch to 7.4%. Short sellers appear to be betting on another shocking quarterly update from this struggling semiconductor company this month.
• Temple & Webster Group Ltd (ASX: TPW) has 7% of its shares in the hands of short sellers, which is down week on week. Concerns over the outlook for consumer spending may be behind this.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) remains the most shorted ASX shares with short interest of 10.45%, which is down slightly week on week. Short sellers appear convinced the market has got it wrong on this travel agent giant.
• Core Lithium Ltd (ASX: CXO) has short interest of 10%, which is up week on week yet again. Valuation concerns appear to be why short sellers are targeting this lithium miner.
• IDP Education Ltd (ASX: IEL) has 9.4% of its shares held short, which is down slightly week on week. Short sellers have been targeting this language testing and student placement company after it lost its lucrative testing monopoly in Canada.
• JB Hi-Fi Limited (ASX: JBH) has short interest of 8.2%, which is up sharply week on week. Short sellers appear to believe the cost of living crisis will weigh heavily on its sales.
• AMA Group Ltd (ASX: AMA) has seen its short interest rise to 8%. This crash repair company's balance sheet is in a precarious position.
• Lendlease Group (ASX: LLC) has short interest of 7.9%, which is down week on week. During the first half of FY 2023, this global property developer reported a statutory loss of $141 million.
• Select Harvests Ltd (ASX: SHV) has 7.7% of its shares held short, which is flat week on week. It has also been struggling this year. In May, the almond producer posted a half-year loss of $96.2 million.
• Brainchip Holdings Ltd (ASX: BRN) has seen its short interest rise to 7.6%. This struggling semiconductor company still has a lofty valuation despite generating less revenue than some cafes.
• Temple & Webster Group Ltd (ASX: TPW) has 7.6% of its shares in the hands of short sellers, which is flat week on week. This appears to be due to concerns over consumer spending.
• Syrah Resources Ltd (ASX: SYR) has returned to the top ten with short interest of 7.1%. Earlier this year, Syrah announced plans to moderate its graphite production until demand conditions improve.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) holds onto the top spot with short interest of 10.5%, which is up slightly week on week. Revenue margins and consumer spending concerns may be behind this.
• IDP Education Ltd (ASX: IEL) has 9.5% of its shares held short, which is down slightly week on week. Short sellers built a position in this language testing and student placement company after it lost its monopoly in Canada.
• Core Lithium Ltd (ASX: CXO) has short interest of 9.45%, which is up week on week again. A number of analysts believe that the market is overvaluing this lithium miner.
• Lendlease Group (ASX: LLC) has short interest of 8.2%, which is up week on week once again. Short sellers appear to be betting on this global property developer facing a tough year in FY 2024.
• AMA Group Ltd (ASX: AMA) has seen its short interest ease slightly to 7.9%. This struggling crash repair company has loans of ~$230 million drawn, which is double its current market capitalisation.
• Select Harvests Ltd (ASX: SHV) has 7.7% of its shares held short, which is up slightly since last week. In May, the almond producer posted a half-year loss of $96.2 million. Short sellers appear to believe the poor form could continue.
• JB Hi-Fi Limited (ASX: JBH) has short interest of 7.65%, which is up week on week. This short interest appears to be due to concerns over the cost of living crisis and consumer spending.
• Temple & Webster Group Ltd (ASX: TPW) has 7.6% of its shares in the hands of short sellers, which is down week on week. This also appears to be due to consumer spending concerns.
• Brainchip Holdings Ltd (ASX: BRN) has seen its short interest ease a touch to 7.3%. Short sellers may to be coming after this struggling semiconductor company due to its abject performance and lofty valuation.
• Breville Group Ltd (ASX: BRG) has returned to the top ten with short interest of 7%. Concerns about consumer spending appear to be why short sellers are targeting this appliance manufacturer.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) has returned to the top spot despite its short interest easing to 10.4%. Short sellers may believe the cost of living crisis will eventually start to impact travel spending.
• IDP Education Ltd (ASX: IEL) has 9.6% of its shares held short, which is down week on week. This language testing and student placement company's shares have come under pressure after it lost its monopoly in Canada.
• Core Lithium Ltd (ASX: CXO) has a short interest of 9.3%, which is up week on week. This may be due to concerns about its valuation and the prospect of lithium prices sinking in the near term.
• Temple & Webster Group Ltd (ASX: TPW) has 8% of its shares in the hands of short sellers, which is up again week on week. Concerns over consumer spending could be behind this.
• AMA Group Ltd (ASX: AMA) has seen its short interest rise slightly to 8%. This crash repair company's balance sheet may be worrying investors.
• Lendlease Group (ASX: LLC) has a short interest of 7.9%, which is up week on week once again. Short sellers may believe this global property developer will struggle if there is a global recession.
• Lake Resources N.L. (ASX: LKE) has 7.7% of its shares in the hands of short sellers, which is down sharply since last week. Short sellers may have been closing positions after the lithium developer's shares crashed deep into the red last month.
• Select Harvests Ltd (ASX: SHV) has 7.6% of its shares held short, which is up slightly since last week. Short sellers don't appear to believe this struggling almond producer's performance is going to improve in the near term.
• JB Hi-Fi Limited (ASX: JBH) has a short interest of 7.45%, which is down slightly week on week. This appears to be due to consumer spending concerns.
• Brainchip Holdings Ltd (ASX: BRN) has entered the top ten with a short interest of 7.4%. Short sellers appear to be targeting this struggling semiconductor company due to its lofty valuation and lack of revenue.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• IDP Education Ltd (ASX: IEL) has jumped to the top spot after its short interest rose to 10.9%. Short sellers have been loading up on this language testing and student placement company's shares after it lost its monopoly in Canada.
• Flight Centre Travel Group Ltd (ASX: FLT) has seen its short interest ease to 10.5%. Short sellers appear to believe that consensus expectations are too high.
• Lake Resources N.L. (ASX: LKE) has 9.7% of its shares in the hands of short sellers, which is up materially since last week. Short sellers will have been celebrating last week after a dismal update sent this lithium share crashing deep into the red.
• Core Lithium Ltd (ASX: CXO) has a short interest of 9%, which is down week on week. This appears to be due to valuation concerns.
• AMA Group Ltd (ASX: AMA) has seen its short interest rise slightly to 7.9%. This crash repair company's worrying balance sheet may be behind this.
• Lendlease Group (ASX: LLC) has a short interest of 7.8%, which is up week on week. Short sellers may expect this global property developer to struggle if there is a recession.
• Temple & Webster Group Ltd (ASX: TPW) has 7.7% of its shares in the hands of short sellers, which is up slightly week on week. Retail shares have been hit hard recently due to concerns over consumer spending.
• JB Hi-Fi Limited (ASX: JBH) has entered the top ten with a short interest of 7.5%. As with Temple & Webster, consumer spending concerns appear to be behind this.
• Select Harvests Ltd (ASX: SHV) has returned to the top ten with 7.5% of its shares held short. This almond producer has been having a tough time of late and short sellers don't appear confident that things will change quickly.
• Breville Group Ltd (ASX: BRG) has 7.4% of its shares held short, which is down slightly since last week. Fears that the cost of living crisis could impact demand may be behind this short interest.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) remains the most shorted ASX share with short interest of 10.6%, which is down week on week. Short sellers appear to believe the market is too optimistic on the travel agent's outlook.
• Core Lithium Ltd (ASX: CXO) has short interest of 9.5%, which is down slightly week on week. Short sellers appear to believe this lithium miner could be severely overvalued if lithium prices fall.
• IDP Education Ltd (ASX: IEL) has seen its short interest rise again to 8.9%. Short sellers have been loading up on IDP Education's shares after it lost its monopoly in Canada.
• Lake Resources N.L. (ASX: LKE) has 8.9% of its shares in the hands of short sellers, which is flat since last week. Short sellers are targeting lithium miners on the belief that battery material prices are going to sink.
• Megaport Ltd (ASX: MP1) has short interest of 8.1%, which is down week on week. Short sellers may believe that the market is too optimistic on this network as a service operator's recent recovery.
• AMA Group Ltd (ASX: AMA) has seen its short interest remain flat at 7.8%. Balance sheet concerns are weighing on sentiment for this crash repair company.
• Pilbara Minerals Ltd (ASX: PLS) has short interest of 7.7%, which is up week on week. This also seems to be due to concerns that lithium prices are about to tumble.
• Temple & Webster Group Ltd (ASX: TPW) has 7.6% of its shares in the hands of short sellers, which is down slightly week on week. This may be due to fears that this furniture retailer's sales could suffer given the current economic environment.
• Lendlease Group (ASX: LLC) has entered the top ten with short interest of 7.6%. A mixed performance from the global property developer seems to have spooked investors.
• Breville Group Ltd (ASX: BRG) has 7.5% of its shares held short, which is up slightly since last week. This may be due to concerns that the cost of living crisis could impact demand.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) continues its long run as the most shorted ASX share with short interest of 11.2%, which is up week on week. There are concerns that revenue margins could weigh on its performance.
• Core Lithium Ltd (ASX: CXO) has short interest of 9.7%, which is down slightly week on week. This is likely to have been driven by valuation concerns and fears that lithium prices are going to start falling again.
• Lake Resources N.L. (ASX: LKE) has 8.9% of its shares in the hands of short sellers, which is down slightly since last week. Many analysts believe lithium prices are about to start falling again.
• Megaport Ltd (ASX: MP1) has short interest of 8.4%, which is up week on week. Short sellers seem to believe that the market is too optimistic on this network as a service operator's outlook.
• IDP Education Ltd (ASX: IEL) has jumped into the top ten with 8.3% of its shares held short. The loss of the language testing company's monopoly in Canada is likely to have something to do with this.
• AMA Group Ltd (ASX: AMA) has seen its short interest ease to 7.8%. This crash repair company's balance sheet is in a terrible state.
• Temple & Webster Group Ltd (ASX: TPW) has 7.7% of its shares in the hands of short sellers, which is up slightly week on week. Short sellers don't appear to believe this online furniture retailer's improving sales will last in the current economic environment.
• Breville Group Ltd (ASX: BRG) has 7.4% of its shares held short, which is down slightly since last week. Short sellers may feel that the cost of living crisis could impact demand for its appliances.
• Select Harvests Ltd (ASX: SHV) has short interest of 7.3%, which is down since last week. A reasonably upbeat forecast from this almond producer after a difficult period may have led to short sellers closing positions.
• Pilbara Minerals Ltd (ASX: PLS) has entered the top ten with short interest of 7.3%. Once again, this may be due to concerns that lithium prices are about to tumble.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) remains the most shorted ASX share with short interest of 10.7%, which is down slightly week on week. Short sellers may believe that revenue margin headwinds will weigh on its performance.
• Core Lithium Ltd (ASX: CXO) has short interest of 9.8%, which is up week on week again. A number of brokers continue to believe that this lithium miner is overvalued based on its mineral resource.
• Lake Resources N.L. (ASX: LKE) has 9.1% of its shares in the hands of short sellers, which is up again since last week. Short sellers don't appear to believe that recent lithium price strength will last.
• Sayona Mining Ltd (ASX: SYA) has seen its short interest rise to 8.25%. This lithium developer's shares fell last week after announcing a surprise $200 million capital raising.
• Megaport Ltd (ASX: MP1) has leapt back into the top ten with short interest of 8.2%. Short sellers may believe that the market is too optimistic on this network as a service operator's outlook.
• Jervois Global Ltd (ASX: JRV) has 8% of its shares held short, which is down week on week. This cobalt developer's shares have crashed deep into the red since suspending the final construction of the Idaho Cobalt Operation.
• AMA Group Ltd (ASX: AMA) has seen its short interest rise to 7.9%. Short sellers may be targeting this crash repair company due to its precarious balance sheet.
• Zip Co Ltd (ASX: ZIP) has short interest of 7.6%, which is down week on week again. Some short sellers may be closing positions following news of favourable regulatory changes.
• Breville Group Ltd (ASX: BRG) has entered the top ten with 7.6% of its shares held short. This may be due to concerns over how the cost of living crisis could impact demand for appliances.
• Temple & Webster Group Ltd (ASX: TPW) has returned to the top ten with 7.6% of its shares in the hands of short sellers. Short sellers don't appear confident that this online furniture retailer's improving sales will last.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) continues its long run as the most shorted ASX share despite its short interest pulling back to 10.8%. Concerns over revenue margin headwinds may be behind this.
• Core Lithium Ltd (ASX: CXO) has short interest of 9.3%, which is up strongly week on week. A number of brokers say that this lithium miner is seriously overvalued.
• Lake Resources N.L. (ASX: LKE) has 8.9% of its shares in the hands of short sellers, which is up again since last week. Fears that lithium prices could fall heavily may be behind this.
• Jervois Global Ltd (ASX: JRV) has 8.5% of its shares held short, which is flat week on week. This cobalt developer has suspended the final construction of the Idaho Cobalt Operation due to weak prices of the battery material.
• Appen Ltd (ASX: APX) has short interest of 8.2%. which is down sharply since last week. This artificial intelligence data services company's worrying trading update has spooked investors.
• Select Harvests Ltd (ASX: SHV) has 8.1% of its shares held short, which is up slightly since last week. Analysts are forecasting a very large loss from the almond producer in FY 2023.
• Zip Co Ltd (ASX: ZIP) has short interest of 8%, which is down week on week. The market appears to believe regulatory changes could be an issue. Though, Zip believes it is well-placed to benefit.
• Sayona Mining Ltd (ASX: SYA) has seen its short interest remain flat at 8%. This lithium developer has just announced a $200 million capital raising.
• AMA Group Ltd (ASX: AMA) is back in the top ten with short interest of 7.8%. This crash repair company's precarious balance sheet appears to have the market concerned.
• JB Hi-Fi Limited (ASX: JBH) has entered the top ten with 7.15% of its shares held short. Concerns about weak consumer spending seems to be behind this.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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:

• Flight Centre Travel Group Ltd (ASX: FLT) continues its long run as the most shorted ASX share after its short interest rose slightly to 11.8%. Short sellers aren't giving up on this one despite a recent trading update coming in strong. Revenue margin headwinds appear to be the chief concern of short sellers.
• Zip Co Ltd (ASX: ZIP) has short interest of 10.25%, which is down week on week. Profitability and regulatory concerns seem to be behind this.
• Core Lithium Ltd (ASX: CXO) has short interest of 8.8%, which is down week on week. Short sellers will be frustrated to have seen this lithium miner's shares rocket higher last week after further M&A activity in the industry.
• Jervois Global Ltd (ASX: JRV) has 8.6% of its shares held short, which is down week on week. The suspension of the final construction of the Idaho Cobalt Operations has hit this company's shares hard.
• Sayona Mining Ltd (ASX: SYA) has seen its short interest ease to 8.5%. Sayona Mining's shares also rose strongly last week amid further lithium M&A activity.
• Pointsbet Holdings Ltd (ASX: PBH) has 8.45% of its shares held short, which is up slightly week on week. Short sellers appear concerned by this sports betting company's huge cash burn in a highly competitive industry.
• Lake Resources N.L. (ASX: LKE) has 8% of its shares in the hands of short sellers, which is down since last week. An almost 20% gain last week by this lithium developer's shares will have been hard for short sellers to take.
• AMA Group Ltd (ASX: AMA) has 7.7% of its shares held short, which is down week on week. This smash repair company's balance sheet is in a very precarious state.
• Temple & Webster Group Ltd (ASX: TPW) has seen its short interest ease to 7.6%. Traders appear to believe the housing market downturn and a return to offline shopping could mean this online retailer underperforms.
• Megaport Ltd (ASX: MP1) has seen its short interest fall again to 7.4%. Short sellers have been closing positions since this network as a service company released a very positive trading update and guidance.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.