Short Sellers Are Targeting These 5 Stocks

In this article, we discuss the 5 stocks that short sellers are currently targeting. If you want to take a look at some more stocks attracting short-sellers and the latest market situation, you can go to Short Sellers Are Targeting These 10 Stocks.

5. Rivian Automotive, Inc. (NASDAQ:RIVN)

Float Shorted: 7.32%

Number of Hedge Fund Holders: 47

Rivian Automotive, Inc. (NASDAQ:RIVN) is an American automotive technology company. As of February 28, the company has a short interest change of 34.21 million. Argonaut Capital’s Barry Norris is betting against Rivian Automotive, Inc. (NASDAQ:RIVN), who stated that the company is “on a ridiculous valuation.” Barry believes Rivian Automotive, Inc. (NASDAQ:RIVN) doesn’t have the first-mover advantage in the industry. Moreover, Amazon announced its decision to buy electric vehicles from rival firm Stellantis, driving the stock price of Rivian Automotive, Inc. (NASDAQ:RIVN) below its IPO price in January 2022. At the end of Q4 2021, 47 hedge funds owned a stake in the company.

Longleaf Partners Fund shared its stance on Rivian Automotive, Inc. (NASDAQ:RIVN) in its Q4 2021 investor letter. Here’s what the fund said:

“We also have seen plenty of IPO/SPAC craziness showing both that private players need public markets more than they admit and that there is more volatility embedded in these newer companies than a private quarterly mark might admit. As for how efficient both the private and public markets are, we would encourage you to really delve into some of those multi-hundred-page S1s for many of the newest public companies to see the huge gap between the last valuation at which the company was funded and/or granted shares to its executives and the often much higher price at which the company went public – Rivian is a prime example.”