Short interest surged across several ASX-listed uranium companies between 24 March and 7 April 2025. The data reflects rising bearish sentiment within the sector. Boss Energy recorded the highest short position at 25.60%, increasing 0.83% over the week and 3.02% for the month.
Paladin Energy followed at 16.72%, with a weekly rise of 1.22% despite a 1.23% decline over the month. Deep Yellow held 13.36%, while Lotus Resources posted 11.06% and the highest monthly increase at 4.05%.
These companies reflect ongoing market caution toward uranium developers and producers. The broader investor sentiment remains cautious amid uncertain demand dynamics.
James Hardie bid triggers increased short activity
James Hardie experienced a 3.40% weekly increase in short positions, reaching 7.38% total. The company’s 24 March 2025 bid for US firm AZEK triggered investor concerns. Macquarie analysts flagged valuation issues. “The bid is priced at ~6x price/book for an asset with 52% intangible assets,” the note stated.
Macquarie also noted the move could erode James Hardie’s 55% return on capital employed from the prior year. Shareholders last week urged federal authorities to re-evaluate the AZEK waiver. Investors warned the deal may set a harmful precedent for Australian capital markets.
Figure 1: James Hardie experienced a 3.40% weekly increase in short positions
Cettire faces tariff concerns and rising shorts
Cettire saw short interest rise by 1.65% over the week to 10.26%. Market participants reacted to tariff risks linked to EU-US trade. On 3 April, the company stated, “41% of its 1H25 gross sales came from EU-manufactured goods sold to US customers.”
While orders under US$800 remain tariff-free, the company noted an average order value of US$821 during the period. This raises exposure to duty liabilities and investor caution.
A2 Milk short interest rises despite strong performance
A2 Milk recorded a 1.15% increase in short interest, reaching 3.21% overall. This rise comes despite the company delivering a 43% gain year-to-date. Its half-year FY25 earnings report in February drove investor optimism. However, some short sellers remain sceptical of the sustainability of these gains.
Liontown, Clarity Pharmaceuticals and Austal attract attention
Liontown Resources’ short interest rose to 11.78%, climbing 1.12% week-on-week and 1.23% month-on-month. Clarity Pharmaceuticals also saw a 1.07% weekly rise to 5.44%. Austal’s short interest increased 1.04%, reaching 1.28%.
These movements indicate growing market bets against small- and mid-cap stocks in sectors facing regulatory or geopolitical pressure.
Short covering gains pace in Domino’s and Breville
While some stocks attracted new short positions, others saw significant covering. Domino’s Pizza showed the largest drop, with short interest falling 1.96% to 10.01%. The company ended the week up 7.4% despite broader market volatility.
Breville Group, Web Travel Group, and ARB Corporation also recorded declines. Breville dropped 0.87% to 3.96%, while Web Travel slipped 0.69% to 6.10%. These companies face headwinds linked to earnings risks and potential tariff escalations.
Figure 2: Domino’s experienced the biggest drop with with short interest falling 1.96% to 10.01%
Pilbara Minerals sees mixed sentiment
Pilbara Minerals saw a 0.63% weekly drop in short interest, although its month-on-month figure climbed 0.34%. The current short position stands at 12.57%. The lithium sector remains volatile, with mixed signals influencing investor positioning.
Other major movers in short interest
Johns Lyng Group rose 0.92% to 6.91%, while Alcoa Corporation climbed 0.87% to 1.20%. DUG Technology increased by 0.74% to 1.55%, while Hansen Technologies and Ramelius Resources also experienced rises near 0.55%.
Meanwhile, Nexgen Energy and FBR recorded the steepest weekly declines among lightly shorted stocks. Nexgen dropped 0.56% to 0.97%, and FBR fell 0.54% to 0.08%.
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Market dynamics continue to shift amid global trade tensions
Ongoing tariff discussions and international earnings outlooks continue to shape Australian short-selling behaviour. As market sentiment fluctuates, traders shift positions quickly across sectors. The uranium and education sectors, in particular, remain closely watched by short sellers.
