Seeking Alpha

Exxon tops list of energy shorts, Credit Suisse says

  • Exxon Mobil (XOM) leads the list of energy stocks that institutions and sophisticated investors are shorting, according to a new report from Credit Suisse.
  • Short sellers see no growth in XOM's overall business, poor execution on recent initiatives, and the need of a portfolio upgrade after totally missing out on huge new plays in east and west Africa.
  • All the variable rate, high-dividend refiners are being shorted heavily, especially by the hedge funds; examples cited are ALDW, CVRR, NTI.
  • Offshore drillers including DO, ESV and RIG also are short-selling targets, which CS sees as part of a bifurcation trade against the stocks.
Comments (16)
  • royk01
    , contributor
    Comments (138) | Send Message
     
    I suspected these were being shorted. All are significantly down recently. Ouch!
    20 Sep 2013, 12:30 PM Reply Like
  • User 353732
    , contributor
    Comments (4786) | Send Message
     
    Do these people actually study the company; its global strategic position; its portfolio of major projects, its reserve base and its organizational and technological capacity before issuing such statements? Or is this yet another attempt to manufacture a trend in a widely held stock by making small investors fearful?
    20 Sep 2013, 12:32 PM Reply Like
  • samshoe
    , contributor
    Comments (2) | Send Message
     
    Well stated, stay long.
    20 Sep 2013, 01:46 PM Reply Like
  • Shawn G
    , contributor
    Comments (211) | Send Message
     
    Agree, the hedge funds are raking in the money scaring the retail investors out of their investments, no fundamentals here at all. They probably have plans to buy back in once they have flushed out all the weak hands. Crooks.
    23 Sep 2013, 01:42 AM Reply Like
  • Thinking DNA
    , contributor
    Comments (45) | Send Message
     
    USER,
    I think you hit the nail on the head. The hedge funds are not meeting their numbers so they figured energy is the right sector to attack...it seems hedge managers are taking a page out of Hedgeye’s book.
    What a crock of sh..
    20 Sep 2013, 12:45 PM Reply Like
  • immfunds1
    , contributor
    Comments (22) | Send Message
     
    ...the latter....
    20 Sep 2013, 12:51 PM Reply Like
  • optionsexpert
    , contributor
    Comments (279) | Send Message
     
    Too bad this data is not forward looking. XOM was a good short at $95 before earnings. It is not a good short now.
    20 Sep 2013, 01:13 PM Reply Like
  • Bob Carl
    , contributor
    Comments (192) | Send Message
     
    What are the Credit Suisse smoking? Where are they getting their data.

     

    I subscribe to Bloomberg Professional. I just ran the SI function on XOM.

     

    Current reported short (8/30/2013) 39,523,229 shares. One year ago (8/31/2013) 41,288,544 shares. Highest reported short last 12 months: 48,311,941 shares on 7/15/2013.

     

    I would rather trust the data than CS.
    20 Sep 2013, 01:17 PM Reply Like
  • Caymagnate
    , contributor
    Comments (270) | Send Message
     
    Quite a drop in the market! I don't have XOM but I have NTI and others that are dropping today. My stops are fairly close so if I get stopped out I'll just wait and see how far this "correction" goes. I don't think the end of the world is here............... yet.
    20 Sep 2013, 01:25 PM Reply Like
  • BuffaloBell
    , contributor
    Comments (328) | Send Message
     
    Simply go to he XOM website and study the Energy Outlook over the next 20 or so years. This will explain why XOM has been investing billions in the past several years to handle the expected increase in energy demand worldwide.
    20 Sep 2013, 01:54 PM Reply Like
  • chopchop0
    , contributor
    Comments (3131) | Send Message
     
    Enjoy paying those dividends to my portfolio, shorties!
    20 Sep 2013, 03:07 PM Reply Like
  • Pedro de Almeida
    , contributor
    Comments (104) | Send Message
     
    ESV in particular is being heavily attacked with downgrades from "analysts", badly written short-thesis articles, etc..
    This is in complete contradiction with the evolution of the fundamentals.
    I bet the fundamentals will end up winning...
    21 Sep 2013, 07:28 AM Reply Like
  • cowboy4576
    , contributor
    Comments (186) | Send Message
     
    Pedro- That depends on when YOU decide the end is...
    21 Sep 2013, 10:52 AM Reply Like
  • SanDiegoNonSurfer
    , contributor
    Comments (2567) | Send Message
     
    buying opportunity
    21 Sep 2013, 12:12 PM Reply Like
  • koolsool
    , contributor
    Comments (291) | Send Message
     
    Hedge funds pile on to bad short ideas & manipulate shares down whether they deserve to go down or not. That is how they make money. A lot of refiners will announce a smaller dividend this quarter, Some will pay 15% instead of 20%. When this announcement happens, there will be a hedge fund short squeeze & the shares will go back up to where they are fairly valued.
    21 Sep 2013, 08:17 AM Reply Like
  • SkidRow
    , contributor
    Comments (15) | Send Message
     
    Performance of this stock doesn't match last two conference calls, and increasing dividend. Frustrating to find a stock like this and get slammed. Missing Something other than shorts?
    4 Oct 2013, 03:56 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Tools
Find the right ETFs for your portfolio:
Seeking Alpha's new ETF Hub
ETF Investment Guide:
Table of Contents | One Page Summary
Read about different ETF Asset Classes:
ETF Selector

Next headline on your portfolio:

|