Boohoo and AO among most shorted UK stocks

New analysis from exchange-traded products provider GraniteShares reveals that Manchester-based fashion giant Boohoo and Bolton-based online electrical retailer AO World plc were among the most shorted UK stocks at March 24.

The GraniteShares analysis said GLG Partners LLP had by far the most short positions on UK listed companies of any investment firms, with 35 bets.

This was followed by Marshall Wace LLP, BlackRock Investment Management (UK) Limited and Ennismore Fund Management Limited with 23, 21 and 10 short position bets respectively.

GraniteShares said cinema chain Cineworld Group was the most shorted UK listed company, with 8.1% of its stock held short by five investment firms.

“The next most shorted UK listed companies were, AO World plc and Hammerson plc with 6.4%, 5.2% and 5.1% of their stock held by 8, 7 and 5 investment firms respectively.”

GraniteShares CEO Will Rhind said: “Hopes that UK stocks were set for a strong year have evaporated as the war in Ukraine and rising inflation hits confidence and drives volatility across the market …

“The most popular shorted stocks on the Graniteshares remain some of the largest U.S. Technology names, in particular Tesla …

“With the recent decline in U.S. Technology stocks, sophisticated investors may be signalling they expect further price declines.”