American Consumer News, LLC dba MarketBeat 2010-2023. Other company's on the highest stock borrow fees list include Bed Bath & Beyond (NASDAQ:BBBY) with GameStop (NYSE:GME) last on the list.. AMC's high short interest of 25.33% has short sellers in a sticky situation as rising borrow fee rates limit the amount of shorting in the stock. Before you get any more clout - let's just be transparent here and acknowledge S3 is owned by Citadel. Only one sector had a significant increase in short exposure in the 3rd quarter, the Energy sector was up +$4.4 billion. Dusaniwsky has developed a Short Squeeze score and ranks AMC s and GameStops metric a 10 out of 10 for a short squeeze. In-depth profiles and analysis for 20,000 public companies. Plus500. With Fed Decision Looming, Economy and Markets Wait Google Stock Concerned About AI? Management has done an excellent job in reversing the troubling FCF of the 2020, when AMC reported a negative cash flow of $1.27 billion. While retail investors keep trying to defeat short-sellers by provoking short squeezes, the company's management is trying to prove to the bears that AMC is more than just a meme. 2023 S3 Partners, LLC. An additional variable, which is necessary for a short squeeze to occur, are substantial net-of-financing mark-to-market losses. Which the shorts have definitely seen this week. This has allowed AMC's management to go beyond simply recovering its business. Related Link: Are Hedge Fund Short Sellers Hunting And Targeting Specific Bank Stocks? Our Standards: The Thomson Reuters Trust Principles. Short sellers have now lost grip as the cost to short the stock has dramatically increased. Although short interest is now nowhere near the exaggerated levels that preceded January 2021's historic rally, data from S3 Partners shows that short interest in both GameStop and AMC . Our daily ratings and market update email newsletter. Revenue increased fivefold, and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) grew 80%, compared to last year. Moving averages are a lagging trend-following indicator that technical analysts use to smooth out price movements and help identify the direction of the current trend in place. S3 Analytics: 3rd Quarter Short Interest by Sector Recap. Stock borrows are tight in most of these stocks with only six trading at General Collateral levels and twelve are trading at above 10% fee levels. Tesla Continues to Defy Expectations, Is it Buyable Again? You can now read exclusive FrankNez articles for only $1/mo. At time of publication, AMC was trading below the key support level at $35.27. You can also follow Frank Nez onTwitter,Instagram,Facebook, orLinkedInfor daily posts. Global Business and Financial News, Stock Quotes, and Market Data and Analysis. Image: S3 Partners, LLC. "FRC shorts are up +$320.3 million in mark-to-market profits on todays -33.9% price move," he wrote. The rising 200-day average is currently near the $14 level, representing potential downside of 60% from current levels. Beyond Meat (BYND) Initiated with a Hold at BMO Capital, 7 Short-Squeeze Stocks That Could Make You Rich, 3 Short-Squeeze Stocks Set for an April Rally, Registration on or use of this site constitutes acceptance of our. Short Interest Data. AMC's business fundamentals are at their best levels since the pandemic, but short sellers continue to bet against the stock. S3 Partners, which calculates real-time short interest in the market, expects the squeeze to continue. Stonk-O-Tracker is currently reporting the borrow fee at 102% but recently showed hedge funds were paying as much as 731% to short AMC stock. But a stock's decline below its 50-day moving average does not mean a swift decline back to its 200-day moving average is in order. as well as other partner offers and accept our, begin to capitulate on the meme-stock frenzy, Registration on or use of this site constitutes acceptance of our. Ihor Dusaniwsky at S3 Partners tracks short interest in stocks in real time, and he posts a number of his charts on Twitter.While AMC's stock was down $0.40 for the day from $26.52 to $26.12 . Short sellers made $14.3 billion in paper profit from their bearish bets on global banking stocks in March, according to analytics firm S3 Partners, as the collapse of U.S. lender Silicon Valley Bank. Before Covid-19 hit the economy in 2020 AMC had lost money and had negative free cash . Real-time analyst ratings, insider transactions, earnings data, and more. Short interest is typically published by a stock exchange once per month. Joe, you nailed it. He wrote in an email, A security is considered crowded on the short side if some or all of the following occur:, However, even when these criteria are met it does not necessarily mean the stock is a short squeeze candidate. Information and observations are obtained from sources believed to be reliable, but S3 Partners, LLC and any of its affiliates do not warrant the completeness or accuracy of any such information, or guarantee or in any way warrant any results from the use of any information. Also, the article may contain affiliate links. And before Covid-19 impacted business the companys market cap was about $750 million. Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology. As the chart below shows the number of shares being shorted fell significantly in late January (the gold line) when the stock had its initial pop due to wallstreetbets Reddit crowd jumping in. AMC Entertainment Is Most Expensive Stock For Short Sellers, But What Other Stocks Top The List? That's an uptick from 49.53 million in mid-September. Note that while GameStops fiscal year ended on January 30, 2021, and would normally be labeled fiscal 2021, GameStop calls it fiscal 2020. - AMC Enter Hldgs (NYSE:AMC) Export data to Excel for your own analysis. However, NASDAQ publishes a report for U.S. stocks, including AMC, twice per month. No representation or implication is being made that using the methodology or system will generate profits or ensure freedom from losses. AMC short interest and stock price. , Beyond Meat, Nikola, Skillz, Upstart Holdings and Virgin Galactic In fact, the short interest in many of these speculative names has gone up in recent weeks, according to data firm S3 Partners. A short interest ratio of 10 or greater indicates strong pessimism about a stock. He added, While a stock can be crowded it might not necessarily be a short squeeze candidate. All trades, patterns, charts, systems, etc., discussed herein and any product materials are for illustrative purposes only and not to be construed as specific advisory recommendations. Graphite is used to build batteries. Now the stocks short interest is around the same as it was when shares spiked to its all-time high. "All that reallymatters here long term, thiscompany is never going to makecash again," Rich Greenfield, co-founder of LightShed Partners, said Friday morning on CNBC's "Squawk Box." AMC's new retail investors, who stand at 3.2 million strong, owned about 80% of the company's 450 million outstanding shares as of March 11, AMC reported earlier this month. Learn More on AMC Entertainment's short interest ratio. You seem like a nice guy Ihor, but let's not pretend ANYONE's short interest data is even remotely accurate. After a 40% Drop, Analysts Remain Bullish on Impinj, Visa Charges Higher After Better-Than-Expected Q2 Report, onsemi Puts A Bottom in Chip Stocks, Heads For New Highs, Checkpoint Software Leads Cyber-Security Stocks. He speaks with Alix Steel on "Bloomberg: The Open . Lyft Inc's revenue growth is likely to lag bigger rival Uber Technologies Inc for the sixth straight quarter, with Wall Street eagerly looking forward to a turnaround plan from its new CEO David Risher. What is a good short interest ratio for AMC Entertainment? The highest stock borrow fees, as of September 30th, for stocks with over $100 million of short interest were: Short sellers were up +$47.2 billion in 3rd quarter mark-to-market profits, +4.02%. It traded at seven times EBITDApre-pandemic. While a substantially large . Use this data to understand bearish bets, conviction levels and what is driving price action, and identify which trades are crowded and why for over 65,000 global securities. S3 Partners founder Robert Sloan examines the short-selling activity surrounding AMC and the top short-squeeze risks. Get drawn at the end of the year for holiday giveaways. By the end of May, that number had grown to 109.83 million shares. AMC was the most active stock on the New York Stock Exchange by far on Friday as more than 650 million shares changed hands. I cover technology companies, worldwide economies and the stock market, A customer gets a bucket of popcorn before seeing, a movie at AMC Town Square. S3 Analytics: Kraft Heinz (KHC) Short Interest $1.47 S3 Analytics: January 13th January 19th Best S3 Analytics: Chipotle Shorts up $261 million on $GME Stock Slides As Short-Squeeze Rallies Start To S3 Analytics: Stock Loan Implications of VXX ETNs S3 Analytics: Under Armour Swings and Misses on S3 Analytics: Februarys Most & Least Profitable Short S3 Analytics: McPlant Burger Not Tasty for Beyond Meat Shorts. Should You Be Too? Unify your firm's cash with your prime and custody wallets by seamlessly integrating our solution with your own OMS. Another moving average traders will likely have their eye on if AMC falls below its 50-day is the longer-term 200-day moving average. Before Covid-19 hit the economy in 2020 AMC had lost money and had negative free cash flows two of the three previous years. Other stocks with a 10 out of 10 score are Bed, Bath & Beyond Here's Why, (Read more from Wall Street Memes: MicroStrategy Stock: A Trial by Fire for Its Bitcoin Strategy). "They will never generate cashwith their current capitalstructure. As AMC tests its key 50-day moving average support level, short bets against the company are increasing, according to data from S3 partners. Learn More. Shares rose from $2 to more than $20 per share in January and from $9 to more than $72 per share later in June. , symbol AMC, more than doubled over the past five trading days moving from $12.08 last Friday to close at $26.12 today, up 116%. In the last quarter alone, AMC's revenues reached 65% of pre-pandemic levels. Traders typically short a company, in anticipation its share price will decline, by borrowing stock. Data from S3 Partners showing short interest figures for the first weeks of June indicate that 110.02 million shares were being shorted: Figure 2: AMC's short interest vs. price. When a heavily shorted stock jumps higher in a rapid fashion, short sellers are forced to buy back borrowed shares to close out their short position and cut losses. but BLNK short sellers were still up +35% in the 3rd quarter even after paying away -13% is stock borrow financing costs. Ihor Dusaniwsky at S3 Partners tracks short interest in stocks in real time, and he posts a number of his charts on Twitter. S3 looked at stocks with at least $100 million in short interest and ranked them by their stock borrow fees . CFTC RULE 4.41 - HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. AMC Entertainment has enough short sellers to create big buying pressure in a buy back when closing short positions. Exclusive news, data and analytics for financial market professionals, Reporting by Herbert Lash in New York All Rights Reserved. CNBC's Yun Li contributed to this report. The number comes from an algorithm he created and is not subjective. What does it mean to sell short AMC Entertainment stock? See what's happening in the market right now with MarketBeat's real-time news feed. A short interest ratio ranging between 1 and 4 generally indicates strong positive sentiment about a stock and a lack of short sellers. Market wide Short Interest as a % of Float declined moderately in the 3rd quarter, decreasing -28 bps from 5.33% to 5.05%. Year to date shorts positions in First Republic are up $971.8 million, according to Dusaniwsky. AMC's theaters also saw a total attendance of 39 million last quarter, which was four times larger than it was in the same period in 2021. Instead, management is seeking new avenues for growth beyond the entertainment business. S3 Partners. Your password must be at least 8 characters long and contain at least 1 number, 1 letter, and 1 special character. Thanks to this combination of improving fundamentals and growth efforts, AMC is slowly changing. 2023 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. As AMCs stock price came back down the number of shares shorted steadily increased until mid-April, where it has essentially remained around 90 million. The short interest ratio, also known as the "days to cover ratio", is calculated by dividing the number of shares of a stock sold short divided by its average trading volume. Short interest in the domestic market decreased by -$46.7 billion, or -3.93%, to $1.14 trillion in the third quarter of 2021. But according to Charles Lemonides, portfolio manager at ValueWorks, there is likely to be a pause in the aggressive short-selling of meme stocks. Thank you for all your help. All signspoint to an AMC short squeeze this year. (0.77%), Spectrum Brands Holdings, Inc. (4.39%), Mister Car Wash, Inc. (15.31%), Steven Madden, Ltd. (5.25%), Sonos, Inc. (10.34%), Carter's, Inc. (7.52%), Graham Holdings (1.21%), Ozon Holdings PLC (8.94%), Kontoor Brands, Inc. (7.33%). Investors shorting the meme stock AMC Entertainment are estimated to have lost $1.23 billion over the last week. No trader will be forced to exit a position that continues to be profitable. How does a short squeeze work against AMC Entertainment? Best Debt Consolidation Loans for Bad Credit, Personal Loans for 580 Credit Score or Lower, Personal Loans for 670 Credit Score or Lower. Is United Airlines Playing a Game of Limbo with Its Guidance? A short squeeze for AMC Entertainment occurs when it has a large amount of short interest and its stock increases in price. Please add MMTLP to your list, and GTII, and GNS. NEW YORK, April 25 (Reuters) - Short interest in shares of beleaguered First Republic Bank (FRC.N) rose by $389.8 million to $945.5 million in the past 30 days, and the bearish positions turned profitable for the month as its shares skidded on Tuesday, data from S3 Partners showed. We'll assume you're ok with this, but you can opt-out if you wish. There were 9,551 shorted equities with positive P\L, producing +$96.6 billion in profits, +14.4%. For short side data and access to our research reports go to https://research.s3partners.com/ . AMC large recent short-side mark-to-market losses have kept it at the top of the league tables for his Short Squeeze Risk Metric. The latest GameStop short interest data from mid-October indicated that 20% of GME's float - 53.88 million shares - was held short. Short interest stands . The Consumer Discretionary (primarily auto) and HealthCare (Biotech) sectors have the most constituents in the top 25 most squeezable stocks. As Aron said, it is not enough for AMC to return to pre-pandemic levels to prove a successful business. All rights reserved. Mark-to-market losses are the primary impetus for a Short Squeeze to occur, and AMCs recent rally has pushed it into potential Short Squeeze territory.. Over the past week, short bets increased 6% to 5 million shares, worth nearly $200 million. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. But a single trading day above its 50-day moving average is no sure-signal that AMC stock will continue to trend higher, as declining momentum indicators like the Relative Strength Index suggest fewer buyers are stepping in to support the stock than in previous weeks and months. The recent rally off the June 16 lows (S&P 500 +5.36%, Nasdaq +7.57%, Russell 3000 +5.42%) has made some crowded shorts more squeezable. Using this method, a sell signal for AMC would not be generated unless the 200-day moving average crossed above the 50-day moving average. Image: S3 Partners, LLC. On Friday, that value stood at around $11.9 billion, according to data from FactSet. Its 30-day trading volume average is just above 100 million shares, according to FactSet. Access your favorite topics in a personalized feed while you're on the go. The industry leader for online information for tax, accounting and finance professionals. Overall short sellers paid $1.86 billion in stock borrow fees in the 3rd quarter of 2021 (calculated daily borrow cost using S3s offer rate) versus $2.07 billion in stock borrow expenses in the 2nd quarter of 2021. But the company still has a consistent liquidity position of $1.16 billion. By downloading any information from s3partners.com your information may be shared with our educational partners or affiliates. Accept Read More. But the chances of getting a tap on the shoulder from a Chief Risk Officer to cut losses and get out of the trade is higher for these stocks. 86% of retail CFD accounts lose money, Beyond Meat hosts conference call for investors, Short Interest Sector Focus: Consumer Defensive Sector. Upgrade to MarketBeat All Access to add more stocks to your watchlist. Short selling AMC is an investing strategy that aims to generate trading profit from AMC Entertainment as its price is falling. They may exit or trim their positions if trading or stock loan liquidity diminishes significantly or if their expected Alpha is reached and there are more attractive trades elsewhere. S3 Analytics: 2022 Amazon.com Rally? At its peak, the stock reached $36.72 a share. A Division of NBCUniversal. This website uses cookies to improve your experience. All quotes delayed a minimum of 15 minutes. Here is how the short interest of companies in the sector of "consumer discretionary" compare to AMC Entertainment: Cinemark Holdings, Inc. (25.76%), Grupo Televisa, S.A.B. A buy signal is flashed when the short-term moving average crosses above the longer-term moving average, as happened for AMC in February. If a trader has significant historical profits in a stock; very high conviction in their investment\trading thesis; a technical or quantitative reason to be in a stock; or is very stubborn with a thick skin for enduring mark-to-market losses, they may remain short in a stock despite its high Crowded and Squeeze scores. Reuters, the news and media division of Thomson Reuters, is the worlds largest multimedia news provider, reaching billions of people worldwide every day. Dusaniwsky added, While a stock can be crowded it might not necessarily be a short squeeze candidate. On the last day of 2019, AMC had a market value of $751.87 million. Short selling is a costly, risky endeavor, but investors can also use this list of stocks with high borrow fees as a guide of which stocks to potentially avoid holding in a long portfolio as well. How does AMC Entertainment's short interest compare to its competitors? The data reveals that GameStop's short interest currently stands at $1.76 billion after it dropped by $880 million in just two weeks following the short sellers' recovery . The rally cooled off late Friday after AMC's stock skyrocketed as much as 38% during early morning trading. Shares of First Republic plunged 43% to a record low a day after the bank released first-quarter earnings, reporting that deposits tanked by more than $100 billion. Please log in to your account or sign up in order to add this asset to your watchlist. But there were several sectors with some movement. Managing Director of Predictive Analytics, S3 Partners, Director of Predictive Analytics, S3 Partners. BBBY Opinions expressed by Forbes Contributors are their own. THE USE BY SHORTSIGHT.COM OF ANY TRADEMARKED MATERIAL, INCLUDING ANY LOGOS OR COMPANY NAMES, DOES NOT IMPLY ANY AFFILIATION BY SHORTSIGHT.COM WITH THEIR RESPECTIVE HOLDERS OR ENDORSEMENT BY THEIR RESPECTIVE HOLDERS OF ANY INFORMATION OR OPINIONS PRESENTED ON SHORTSIGHT.COM. Supply is dwindling. To remove the impact of Covid-19 lets use 2018s and 2019s revenue, which are essentially the same, of $5.47 billion and Fridays market cap of $21.6 billion (compared to $11.8 billion last Friday). Not surprisingly, AMC was the most expensive stock to short in the first quarter, costing short sellers $225 million in stock borrow fees. Research Note written by Ihor Dusaniwsky, Managing Director of Predictive Analytics, S3 Partners, LLC, For deeper insight into short side data and analysis contact me at Ihor.Dusaniwsky@S3Partners.com. The difference between the sell price and the buy price is the trader's profit. Id love to know your thoughts leave a comment down below. This is@CEOAdamstrategy and the only strategy that has ever worked in the history of the market! Data from S3 partners reveal the AMC's shorted shares have dropped massively this month. Learn More on AMC Entertainment's short interest ratio. GameStops valuation also doesnt make sense. Clovis Oncology, currently the most expensive stock to short, boasts a 109% borrow fee according to data from S3 Partners, a financial analytics firm. AMC shares are trading down $0.09 today. Their efforts, which surged in January, pushed the stock to $20 a share, up from $5, and allowed AMC to lighten its debt load by around $600 million. AMC's short interest was only at 23% when buyers were able to squeeze a percent of short sellers from the play, sending share prices to their all-time high of $72. Short interest in the domestic market decreased by -$46.7 billion, or -3.93%, to $1.14 trillion in the third quarter of 2021. Lemonides mentioned that "there's been too much confidence among the shorts that these businesses are completely failed.". Highest Borrow Fees: Incredibly, short sellers are currently paying a 168.3% fee to borrow AMC shares, more than double the borrow fee of any other stock, according to S3. AMC has not yet fully recovered from the effects of the pandemic. Workflow Solutions. It wasnt until yesterday, May 27, that it had broken those records. The testimonials and examples used herein are exceptional results, which do not apply to the average member, and are not intended to represent or guarantee that anyone will achieve the same or similar results. 2023 CNBC LLC. Short interest in shares of beleaguered First Republic Bank rose by $389.8 million to $945.5 million in the past 30 days, and the bearish positions turned profitable for the month as its shares . Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools: Sign up to receive the latest short interest report for AMC Entertainment and its competitors with MarketBeat's FREE newsletter. The "King Of Quants" sees 10X potential Cybersecurity Firm Raises $5M in Five Days. Editing by Matthew Lewis, First Republic collapse sparks regional bank shares sell-off, JPMorgan wins government auction to buy seized First Republic Bank, Exclusive: Subway comes up with debt plan to clinch $10 billion-plus sale, Explainer: Why First Republic Bank failed and what JPMorgan's deal means, All eyes on Lyft's new CEO as Wall Street awaits turnaround plan, IMF's Georgieva says more vulnerabilities in banking sector may be exposed, Brazil police shoot dead 4 illegal gold miners on Yanomami reservation, India cuts windfall tax on petroleum crude, Options traders remain wary of regional banks after First Republic rescue. An additional variable which is necessary for a short squeeze to occur is substantial net-of-financing mark-to-market losses. Introduction. Let's find out why that's a bad idea. As of April 15th, there was short interest totaling 137,470,000 shares, a decline of 1.0% from the previous total of 138,840,000 shares. The higher chance that short sellers may be forced to buy-to-cover will only help push stock prices even higher and making the Squeeze even tighter for the shorts still in the stock. Even though the overall market was relatively flat (S&P 500 up +0.23%, Nasdaq down -0.38% and Russell 3000 down -0.43%), the majority of this decrease, -$55.5 . What is AMC Entertainment's current short interest? FAANG stocks were up an average of +27.3% in 2021 but Amazon.com Inc (AMZN) underperformed the group significantly with only . They are now transforming AMC into a growth company. Down 66%, Is Beyond Meat Stock Finally a Buy? Our Blacklight SaaS platform and Black App provides an up-to-date view of short selling and short covering on an equity, sector, index, or country-wide basis allowing investors\traders to better manage their existing long and short positions. AMC Entertainment (AMC) - Get Free Reportcontinues to be a major target for short-selling activity. The indicators, strategies, columns, articles and all other features herein are for informational and educational purposes only and should not be construed as investment advice. SPCE The latest report on AMC short interest from S3 Partners indicates that $3.40B of short interest is outstanding and the number of shares shorted is up 6.16% from a week ago. Read More . Combined with retail buying pressure, an AMC short squeeze today is highly probable. AMC has 13.8% of its float shares sold short after a 6.2% increase . This forces short sellers to cover their short interest positions by buying actual shares of AMC, which in turn drives the price of the stock up even further. Changes in short volume can be used to identify positive and negative investor sentiment. The so-called short covering could be contributing to AMC's massive rally this week. What we do know is that CEO Adam Aron plans to tackle the short thesis fundamentally. At the end of April, 100.63 million shares were being shorted. (844) 978-6257. There was also +$8.8 billion of additional short selling in the quarter as short sellers increased their bets on potential market underperformers. In 2021, AMC shares rose more than 3,000% when it peaked at its all-time high of $72 per share. Lets start a discussion. Investors that short sell a stock are betting that its price will decline in the future. Short sellers betting against AMC suffered $2 billion in losses . Get short term trading ideas from the MarketBeat Idea Engine. Got a confidential news tip? Get daily stock ideas from top-performing Wall Street analysts. AMCs high short interest of 25.33% has short sellers in a sticky situation as rising borrow fee rates limit the amount of shorting in the stock. Short squeeze has not contributed to AMCs recent rise.
