In today’s market place, there are a significant amount of tools for Micron Technology, Inc. (NASDAQ:MU) investors to pay attention to, but it is smart to take note of a stock’s short interest. A couple pieces of data typically used are: (a) the chunk of a stock’s float that bears are currently selling, plus (b) the difference in short selling activity.
An increased amount of short selling usually indicates what you’d think: investors have become less fond of the stock. Short selling that’s too high, though, may have a positive effect on share price, as short-ers can be forced to cover their shares.
Within Insider Monkey, it’s not a secret that we watch the smart money’s sentiment, but it’s eqaully as beneficial to group this information with aggregate short interest information. In certain instances, big time players could share that they’re bearish on a particular company, but it isn’t an SEC requirement. Nevertheless, some retail players might want to stay away from highly shorted companies with high hedge fund interest, while others might desire short-squeeze plays. For readers looking for a market-beating piggybacking strategy, discover the details of our premium strategy.
Without further ado, let’s take a peek at the key data swirling around Micron Technology, Inc. (NASDAQ:MU).
Looking at the most recent FINRA data, which is reported two times each month, we can realize that Micron Technology, Inc. (NASDAQ:MU) sports a short interest of 6.90% of float. This represents a 4.7% change from the previous filing. With a float of 1.02B shares, this reveals a short ratio of 2.50.
It is also crucial to take note of hedge fund holdings from their quarterly 13F filings. Of the funds we track, Orbis Investment Management, managed by William B. Gray, holds the largest position in Micron Technology, Inc. (NASDAQ:MU). Orbis Investment Management has a $1.2212 billion position in the stock, comprising 10.4% of its 13F portfolio. On Orbis Investment Management’s heels is Steven Cohen of SAC Capital Advisors, with a $188.4 million position; 0.9% of its 13F portfolio is allocated to the company. Remaining hedgies that are bullish include Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, Robert Karr’s Joho Capital and Kerr Neilson’s Platinum Asset Management.
Also, bullish insider trading is best served when the primary stock in question has seen transactions within the past six months. Over the last 180-day time frame, Micron Technology, Inc. (NASDAQ:MU) has seen zero unique insiders purchasing, and 12 insider sales (see the details of insider trades here).
This trio of indicators–short sale information, hedge fund data and insider sentiment–are what all readers should pay attention to. Though it is difficult to formulate a discernable strategy from short interest filings, hedgie and insider sentiment give plenty of market beating opportunities if you know where to look.