The Short Report – 09 Mar 2023

Weekly Reports | Mar 09 2023

See Guide further below (for readers with full access).


By Greg Peel

Week Ending March 2, 2023.

The ASX200 opened March by bottoming out following its February-long slide, courtesy of the S&P500 bouncing off its 200-day moving average. Last week took in the final couple of days of the February result season.

Having assessed the outlook, the shorters began to reinforce their positions last week once the adjustments of result season died down. Within the sea of red below, there appears a particular short target from here on – discretionary retail.

Climbing up the table last week were retailers Breville Group ((BRG)), City Chic Collective ((CCX)) and Temple & Webster ((TPW)), along with BNPL/payment players Zip Co ((ZIP)) and EML Payments ((EML)).

EML shorts rose to 6.4% from 5.2%.

Gambling was on the nose, with PointsBet Holdings ((PBH)) moving higher and Star Entertainment ((SGR)) slipping into the bottom of the table after announcing a capital raising to fund its ongoing existence.

Going the other way was Domino’s Pizza ((DMP)), which dropped off the table but only after falling -24% on result. A good result for the shorters.

Weekly short positions as a percentage of market cap:

FLT     12.0
BET     11.4
SYA    10.4

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