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Share Price: 254.60
Bid: 255.40
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Change: -4.40 (-1.70%)
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Open: 259.00
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Grocer, trainmaker and landlord among most shorted stocks in June - Hazeltree

Fri, 14th Jul 2023 13:48

LONDON, July 14 (Reuters) - Shortsellers betting on tougher economic conditions zeroed in on online grocer Ocado , Swedish property firm Fastighets AB Balder and French train maker Alstom in June, according to a report by data and tech firm Hazeltree.

These companies hit the top Hazeltree Shortside Crowdedness Report lists for large and mid-cap stocks in Europe, the Middle East and Africa, which collects stock borrowing data globally from about 700 asset management funds.

However, all three companies saw positive June stock performances. A short position is a bet that a company's stock price will fall.

European equities broadly endured heavy shortselling in real estate, financials and basic resources from hedge funds, said a separate note to clients from JP Morgan on July 13.

Stock market performance across Europe's broadest index of stocks proved choppy in June with a 4% rise in the first two weeks, then erased by a fall by the same amount the next week before rebounding around 3%.

Global hedge funds including Man Group and AQR Capital Management faced potential losses on their bets against Ocado after the online grocer's stock price surged on June 22, after it might have courted a takeover bid from Amazon, data and research group Breakout Point said that day.

London-listed Ocado shares fell after Amazon denied speculation it would make a bid for the British retail company, however across June the company's shares soared 62%.

In Sweden, soaring interest rates and falling property values are squeezing commercial real estate firms. Lower rates in recent years had encouraged property firms to pile on debt and some have been caught out as central banks have tightened policy at a record pace to fight inflation.

However Swedish real estate firm Fastighets AB Balder saw its stock price rise about 7% over the course of June.

The train manufacturer Alstom also saw its shares rise 5% during the course of June.

Fastighets AB Balder declined to comment. Ocado and Alstom did not respond immediately for a request to comment. (Reporting by Nell Mackenzie, Editing by Louise Heavens)

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