5 Most Shorted Stocks to Watch

4. Citi Trends, Inc. (NASDAQ:CTRN)

Float Shorted: 47.20%

Number of Hedge Fund Holders as of December 31: 20

Citi Trends, Inc. (NASDAQ:CTRN) is a Savannah, Georgia-based retailer of discounted apparel and home products that target urban customers specifically, with more than 600 stores across the US.

Citi Trends, Inc. (NASDAQ:CTRN) has come under intense pressure due to increased inflation, resulting in higher costs. Earlier today, Craig-Hallum at Jeremy Hamblin downgraded Citi Trends, Inc. (NASDAQ:CTRN) from a Buy to a Hold rating. The analyst also slashed the price target from $80 to $34. Hamblin stated that the company’s guidance is expected to fall as the inflationary pressures are unlikely to reduce this year. Citi Trends, Inc. (NASDAQ:CTRN) has lost over 69% of its value since the start of the year.

The bearish sentiment on the stock is reflected by the decrease in hedge fund holders from 26 in the third quarter of 2021 to 20 in Q4 2021.