Tesla Continues Reign of Top Shorted Security in January, Finds Hazeltree Shortside Crowdedness Report

On the heels of topping the Americas large-cap list for most shorted stock of 2023, Tesla was the most crowded in January, with a score of 99, according to the latest Shortside Crowdedness Report from Hazeltree, a leader in active treasury and intelligent operations technology for the alternative asset industry. The report is a monthly listing of the top 10 shorted securities in the Americas, EMEA, and APAC regions in the large-, mid-, and small-cap ranges.

“2024 has started the way 2023 ended, with similar concentration of interest in many of the same securities and sectors, with the exception of the APAC region where there appears to be more movement among the top shorted securities,” said Tim Smith, managing director of data insights, at Hazeltree.

Other highlights from the January 2024 report include:

Americas

• In the large-cap category, Tesla was the most crowded in January, with a score of 99, while energy companies Chevron (94) and Exxon Mobil (84) closely followed, alongside Apple (84) and Charter Communications (84). Albemarle Corporation had the highest institutional supply utilization (23.59%).
• In the mid-cap category, semiconductor developer Wolfspeed Inc. was the most crowded security (99), while Bloom Energy Corp had the highest institutional supply utilization (69.14%).
• In the small-cap category, solar energy company Sunnova Energy remained the most crowded security (99), while battery manufacturing company Enovix Corp displayed the highest institutional supply utilization (86.52%).

EMEA

• In the large-cap category, luxury goods conglomerate LVMH was the most crowded security for the fifth consecutive month (99), while Universal Music Group NV had the highest institutional supply utilization (5.99%).
• In the mid-cap category, French rail manufacturer Alstom was the most crowded security (99) and had the highest institutional supply utilization (80.75%).
• In the small-cap category, Irish video game company Keywords Studio plc (99) was the most crowded security for the second consecutive month. Health & fitness club Basic Fit NV had the highest institutional supply utilization (77.56%).

APAC

• In the large-cap category, Takeda Pharmaceutical Co. was the most crowded security (99), while Aeon Corp led in institutional supply utilization (21.22%).
• In the mid-cap category, computer manufacturing company Daifuku Co. was the most crowded security (99). IHI Corp stood out with the highest institutional supply utilization (33.46%).
• In the small-cap category, Webjet Lyd was the most crowded security (99), while Takara Holdings had the highest institutional supply utilization (26.31%).

The Shortside Crowdedness Report tracks shorting activity in three different metrics:

• Hazeltree Crowdedness Score: This score represents securities that are being shorted by the highest percentage of funds in Hazeltree’s community in a pre-defined category. The securities are graded on a scale of 1-99, with 99 representing the security that the highest percentage of funds are shorting.

• Institutional Supply Utilization: This figure represents the percentage of the institutional investors’ supply of a particular security that is being lent out. The institutional supply utilization rate is an indicator of how “hot” a security is in terms of the supply-demand dynamic. It is possible to see 100% utilization of a security’s availability, making it difficult to establish new short positions.

• Hazeltree Community Borrow Fee: This figure is the average weighted fee for what funds in the Hazeltree community are paying to borrow a security. The fee is represented as the annualized cost calculated as a percentage of the price of the security.

The data contained in the report comes from Hazeltree’s proprietary securities finance platform data, which tracks approximately 15,000 global equities across the Americas, EMEA, and APAC. The data is aggregated and anonymized from the contributing Hazeltree community, which includes approximately 700 asset manager funds.

To view Hazeltree’s January Shortside Crowdedness Report and past reports, click here.

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About Hazeltree

Hazeltree is a leader in active treasury and intelligent operations technology. Purpose-built for the alternative asset management ecosystem, Hazeltree’s modular platform aggregates internal and external data, providing a comprehensive view of operations and counterparty relationships while proactively highlighting opportunities to extract more value from every transaction. Hazeltree is headquartered in New York with offices in London and Hong Kong.

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