Axios Pro: Retail Deals
May 10, 2022
Axios Pro Exclusive Content

Welcome back, Retail readers.

Situational awareness: Activist investor Macellum has issued its SpartanNash deck.

1 big thing: Where the bears are lurking

Reproduced from S&P Global Market Intelligence; Chart: Axios Visuals

Consumer discretionary was the top shorted sector in the U.S. this year as of mid-April, according to S&P Global Market Intelligence, Richard writes.

Why it matters: Companies targeted by short sellers may be vulnerable to heavy pressure on their shares or volatile swings.

  • A large short interest doesn't dictate a company's future but event-driven funds take note of bear raids for moves such as asset sales, executive moves and fundraising.

Of note: The consumer discretionary sector is being targeted by bears due to concerns about rising inflation, S&P said.

Details: 5.3% of outstanding shares of consumer discretionary stocks were held by short sellers, compared to 4.2% for health care.

  • The most shorted home furnishing stocks were Kirkland's, Bed Bath & Beyond and Sleep Number, in that order.
  • The most shorted consumer electronic stocks were Conn's and GameStop, per S&P.

View archive