Seeking Alpha
Value, growth, long-term horizon, medium-term horizon
Profile| Send Message| ()  

The following is a list of stocks gaining downward momentum, i.e. have had bearish MACD crossovers over the last two days (based on the MACD (12,26,9) indicator). In addition, all of these stocks have seen a significant increase in shares shorted between 9/30 - 12/31.

Is this excessive pessimism justified, or will the inevitable short-covering provide support to these stocks? Full details below.

MACD signals sourced from Stockcharts.com, short trends data sourced from AOL Money.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the stocks mentioned below. Analyst ratings sourced from Zacks Investment Research. Note: The numbers on top of items represent the forward P/E ratio, if available.

The list has been sorted by the change in shares shorted over the last three months.

1. Universal Travel Group (UTA): Consumer Services Industry. Market cap of $136.31M. Daily MACD Line(12,26,9) at 0.189. Shares shorted have increased from 1.52M to 2.36M over the last three months (+55.26% change). Short float at 16.28%, which implies a short ratio of 5.14 days. The stock has lost -33.17% over the last year.

2. Genesco Inc. (GCO): Apparel Stores Industry. Market cap of $862.37M. Daily MACD Line(12,26,9) at 0.098. Shares shorted have increased from 1.54M to 2.28M over the last three months (+48.05% change). Short float at 10.03%, which implies a short ratio of 8.42 days. The stock has gained 47.81% over the last year.

3. BSD Medical Corp. (BSDM): Medical Appliances & Equipment Industry. Market cap of $143.42M. Daily MACD Line(12,26,9) at 0.083. Shares shorted have increased from 2.07M to 2.94M over the last three months (+42.03% change). Short float at 13.92%, which implies a short ratio of 2.14 days. The stock has gained 172.07% over the last year.

4. Seattle Genetics Inc. (SGEN): Biotechnology Industry. Market cap of $1.59B. Daily MACD Line(12,26,9) at 0.232. Shares shorted have increased from 9.89M to 13.46M over the last three months (+36.10% change). Short float at 13.46%, which implies a short ratio of 14.73 days. The stock has gained 47.56% over the last year.

5. Green Mountain Coffee Roasters Inc. (GMCR): Processed & Packaged Goods Industry. Market cap of $4.58B. Daily MACD Line(12,26,9) at 0.326. Shares shorted have increased from 21.47M to 26.41M over the last three months (+23.01% change). Short float at 27.09%, which implies a short ratio of 7.58 days. The stock has gained 29.39% over the last year.

Source: Contrarian Ideas: 5 Downtrend Stocks Being Targeted by Short Sellers