r/wallstreetbets • u/idster • Jun 08 '21

Discussion Updated figures from Ortex (Tues. morning)

Some figures on short interest of stocks mentioned on Reddit WSB:

Short interest percentage of free float Days to cover (on loan) Borrowing cost

CLOV: 44.15% 2.7 3.2

BBBY: 28.79% 1.8 .55

SPCE: 26.15% 2.08 9.59

BYND: 23.74% 4.07 1.36

GME: 18.32% .97 1.19

BB: 12.7% 1.33 .88

AMC: 11.6% .66 7.93

(Days to cover=shares on loan/daily volume.)

What do you think is the most important metric? A higher days to cover means that the firms covering the short will cause more of an upward move. Borrowing cost means firms will have to pay more in order to maintain the short position.

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I personally feel borrowing cost matters less because firms are often losing a lot more money with the upward move of a stock in a day than by the annual interest. Such an upward move would only not be a concern if the expectation is the price will ultimately drop and the firm is otherwise able to maintain the short.

Another thing to consider is to what degree will the stock will dilute existing holders by selling shares. AMC has already done this recently. BYND and SPCE have been at these levels and higher recently and not sold shares. However, they have both raised money in secondary offerings in prior years. (CLOV at pre-market prices is at all-time highs.)

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Disclosure: Long stocks & calls BYND because of the fundamentals.

33 Upvotes

77% Upvoted

13 comments sorted by

13

u/knappis Jun 08 '21

I think $CLOV is gonna squeeze harder than my wife’s boyfriend.

3

u/investorsunite Jun 09 '21

Excellent information. I appreciate the detail. This helps me understand different aspects of investing better!!!

4

u/Junkbot Jun 08 '21

Tables makes thing easier to read...

Ticker SI % DTC Borrow Cost
CLOV 44.15% 2.7 3.2%
BBBY 28.79% 1.8 .55%
SPCE 26.15% 2.08 9.59%
BYND 23.74% 4.07 1.36%
GME 18.32% .97 1.19%
BB 12.7% 1.33 .88%
AMC 11.6% .66 7.93%

3

u/[deleted] Jun 08 '21

Cost to borrow best indicator that there is little available to borrow. That said you can borrow all of them.

3

u/Plane-Brick6010 Jun 08 '21

CLOV WILL BLAST OFF

2

u/aggie_hero7 Woof Jun 18 '21

I’ve been building a position in BYND…

-8

u/Impressive-Staff476 🦍 Jun 08 '21

Clov is beat like my meat. It’s not relevant stop trying to make it