//Hedge fund managers are betting big against these 12 stocks, Bank of America says

Hedge fund managers are betting big against these 12 stocks, Bank of America says

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  • Hedge funds are experts in shorting stocks, or bets that a stock will fall.
  • To help traders have a better idea of the potential investing landmines, Bank of America Merrill Lynch has issued a list of stocks that markets are betting against the most.
  • Most of the highly shorted stocks are from the discretionary and technology sectors.

Wall Street expects stock-market volatility to spike further in 2019.

And in a highly volatile market, it’s even more important to steer clear of potential investing landmines.

To help traders have a better idea of the potential pitfalls to avoid, Bank of America Merrill Lynch has issued a list of stocks that markets are betting against the most. Most of the highly shorted stocks are from the discretionary and technology sectors.

Here are the 12 stocks that markets believe will fall, in ascending order of their short interest as a percentage of float.


TripAdvisor

MI

Ticker: TRIP

Sector: Communication Services

Short interest as a % of float: 13%

Performance in the past 12 months: +64%

Source: Bank of America


Campbell Soup

MI

Ticker:CPB

Sector: Staples

Short interest as a % of float: 13%

Performance in the past 12 months: -30%

Source: Bank of America


Albemarle

MI

Ticker: ALB

Sector: Materials

Short interest as a % of float: 13%

Performance in the past 12 months: -44%

Source: Bank of America


Advanced Micro Devices

MI

Ticker: AMD

Sector: Technology

Short interest as a % of float: 13%

Performance in the past 12 months: +68%

Source: Bank of America


Coty

MI

Ticker: COTY

Sector: Staples

Short interest as a % of float: 14%

Performance in the past 12 months: -63%

Source: Bank of America


Macy’s

MI

Ticker: M

Sector: Discretionary

Short interest as a % of float: 14%

Performance in the past 12 months: +26%

Source: Bank of America


Nordstrom

MI

Ticker: JWN

Sector: Discretionary

Short interest as a % of float: 15%

Performance in the past 12 months:+1%

Source: Bank of America


Kohl’s

MI

Ticker: KSS

Sector: Discretionary

Short interest as a % of float: 15%

Performance in the past 12 months: +21%

Source: Bank of America


Microchip Technology

MI

Ticker: MCHP

Sector: Technology

Short interest as a % of float: 16%

Performance in the past 12 months: -22%

Source: Bank of America


Under Armour

MI

Ticker:UAA

Sector: Discretionary

Short interest as a % of float: 17%

Performance in the past 12 months: +18%

Source: Bank of America


Discovery

MI

Ticker: DISCA

Sector: Communication Services

Short interest as a % of float: 18%

Performance in the past 12 months: +22%

Source: Bank of America


Mattel

MI

Ticker: MAT

Sector: Discretionary

Short interest as a % of float: 20%

Performance in the past 12 months: -26%

Source: Bank of America


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