“Short sellers have circled Apple on the eve of the tech giant’s highly-anticipated iPhone launch, with the tech giant becoming America’s most bet-against company,” James Titcomb reports for The Telegraph.
“Short interest in the company has surpassed bets against Amazon and Tesla in dollar terms recent days, as traders predict that the share price surge that recently made Apple the world’s first trillion-dollar company will not last,” Titcomb reports. “Short sellers ‘borrow’ shares and sell them, predicting that they will be able to profit from a fall in a company’s share price by buying the shares back more cheaply in future.”
“Almost $10bn (£7.7bn) worth of Apple shares are now out on loan after a recent increase in shorting, according to data from S3 Partners,” Titcomb reports. “Although the shorting represents only a fraction of Apple’s $1.05 trillion market value, traders are now deploying more capital against the company than other targets. Short interest in Apple, which now totals $9.8bn, surpassed Amazon’s $9.6bn and Tesla’s $8.7bn last week.”
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MacDailyNews Take: If you think Apple’s growth prospects are fading, you’re delusional. Seek professional help.