To the untrained eye, there are many indicators for SandRidge Energy Inc. (NYSE:SD) traders to watch, but it is important to take note of a company's short sellers. A couple metrics we can use are: (a) the chunk of a company's shares that bears are currently shorting, in addition to (b) the difference in shorting activity.
Increased shorting typically indicates what it implies: investors have turned less bullish on the stock. Overselling, though, sometimes has a positive effect on share price, as short-ers can be forced to buy their stock.
Within our database, it is no secret that we pay attention to hedgies' sentiment, but it is also beneficial to pair this data with overall short sale data. In certain instances, big time investors might disclose that they're bearish on a stock, but it isn't an SEC requirement. Nonetheless, many retail investors might want to stay away from highly shorted stocks with high hedge fund interest, while others might want short-squeeze opportunities. For readers wanting a proven piggybacking strategy, discover the details of our premium strategy.
Let us take a gander at the latest data pertaining to SandRidge Energy Inc. (NYSE:SD).
Looking at the latest FINRA short interest data, which is released twice a month, we can discover that SandRidge Energy Inc. (NYSE:SD) sports a short interest of 13.40% of float. With a total float of 313.62M shares, this represents a short ratio of 7.4.
It's also important to monitor hedge fund sentiment via their 13F filings. According to our data, TPG-AXON Management LP, managed by Dinakar Singh, holds the biggest position in SandRidge Energy Inc. (NYSE:SD). TPG-AXON Management LP has a $190.9 million position in the stock, comprising 9.6% of its 13F portfolio. On TPG-AXON Management LP's heels is Prem Watsa of Fairfax Financial Holdings, with a $170.8 million position; 6.4% of its 13F portfolio is allocated to the stock. Some other hedge funds that are bullish include Leon Cooperman's Omega Advisors, Mark McGoldrick and Jason Maynard's Mouth Kellett Capital Management and Jonathon Jacobson's Highfields Capital Management.
Also, insider trading activity, especially when it's bullish, is most useful when the company we're looking at has experienced transactions within the past six months. Over the latest 180-day time period, SandRidge Energy Inc. (NYSE:SD) has seen 2 unique insiders buying, and 5 insider sales (see the details of insider trades here).
Let's also examine activity in other stocks similar to SandRidge Energy Inc. (NYSE:SD). These stocks are EV Energy Partners, L.P. (NASDAQ:EVEP), Enerplus Corp (USA) (NYSE:ERF), Halcon Resources Corp (NYSE:HK), Kodiak Oil & Gas Corp (USA) (NYSE:KOG), and Pengrowth Energy Corp (USA) (NYSE:PGH). This group of stocks are the members of the oil & gas drilling & exploration industry and their market caps match SD's market cap.