Short Report: Short interest in residential solar heats up again
Welcome to this week's installment of 'The Short Interest Report' – The Fly's weekly recap of short interest trends among some of the most widely followed high-short-float stocks. Using the data from our partner Ortex.com, which utilizes the latest information from stock lenders to estimate short interest changes for thousands of publicly traded companies, this report will screen for some of biggest changes in short interest as a percentage of free float and days-to-cover ratios while also considering the short interest data on some of the more volatile and heavier-traded names of the week. Based on the availability of data from Ortex, the report tracks the trading period that covers prior Friday through Thursday of this week, excluding holidays. As a basis of comparison for stocks discussed below, the S&P 500 index was down 1.1%, the Nasdaq Composite was down 0.6%, the Russell 2000 index was down 1.3%, the Russell 2000 Growth ETF (IWO) was down 1.2%, and the Russell 2000 Value ETF (IWN) was up 0.5% in the four-day trading session range through June 18.
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SHORT INTEREST GAINERS
Ortex-reported short interest on Sunrun (RUN) jumped from 27% to over 30% with days-to-cover on the name up from 3.2 to 3.9 this week. Similarly, short positioning as a percentage of free float on SolarEdge (SEDG) went up from 30.5% to 32.6%. Bearish appetite for both names had been receding as short-sellers took profits following meaningful declines in their respective stock prices on May 22, when House Republicans' passed budget bill was seen as containing a worse than feared scenario of cuts to renewable incentives for solar/wind energy and both stocks subsequently erased their losses over the first half of June. With the Senate budget bill out this week also proposing a full phase-out of solar and wind energy tax credit as soon as 2028, bears are renewing their bets on more Washington-imposed pain and residential solar names are back in freefall. Shares of Sunrun were down 27.6% and those of SolarEdge fell 19.2% in the four-day period covered through Thursday. Year-to-date, Sunrun is off by 33%, though SolarEdge is still up 21%.
Ortex-reported short interest on Designer Brands (DBI) had retreated from a five-month high of 32% to 27% last week as bears took profits from a 35% plunge in shares following the company's disappointing Q1 results and pulled guidance on June 10. With no signs of a bounce and multiple sell-side price target cuts, however, bears are now rebuilding their positions. Shorts as a percentage of free float were up four percentage points this week to 30.8, days-to-cover rose to 5.9 from 5.0, and the stock was down 5.4% in the four-day period covered. Year-to-date, Designer Brands is now down 57%.
Ortex-reported short interest on Guess (GES) had fallen to a 14-month low level just under 20% in the first week of June and ahead of its Q1 earnings on June 5. While the stock bounced despite the company's below-consensus Q2 guide and FY26 outlook cut, bears are returning to the name. This week, shorts as a percentage of free float on Guess were up from 20.2% to 22.7% – a three-week high. Likewise, days-to-cover on Guess jumped from 6.4 to 9.3 – a three-month high – even though volumes held relatively steady. The stock was down 4% in the four-session period through Wednesday, though Friday's 5% rally erased all of those losses. Year-to-date, Guess is still down about 15%.
Ortex-reported short interest on Centrus Energy (LEU) had fallen to the lowest level since November of 2024 in the first week of June at about 17% as the stock had nearly quadrupled over the prior four-month period from April lows. This week however, shorts as a percentage of free float were up from 18.7% to 20.6%, with bears questioning whether the extreme bounce in the nuclear fuel component supplier is sustainable or deserves a pause. Indeed, while the stock is up 14% in the four-day period covered, Friday saw the upside momentum stall out after an intraday jump of 16% to finish up a more modest 5%. Year-to-date, shares of Centrus are still up a whopping 185%.
SHORT INTEREST DECLINERS
Ortex-reported short interest in Enliven Therapeutics (ELVN) had tracked in a 24%-29% range since mid-October but collapsed this week with a decline from 25.7% to 18.4% – a 14-month low. Days to cover on the stock also fell sharply from 7.8 to 6.9 in spite of a spike in volume last Friday – a 9-month low. The burst of trading activity, along with last Friday's 11% jump in the stock price that catalyzed the surge in short covering, was driven by the company's announcement of positive data from its Phase 1 clinical trial of ELVN-001 in patients with chronic myeloid leukemia. The results were then cheered by analysts at Goldman Sachs, who assigned a Buy rating to the stock with a price target of $37, implying another 50% return from current levels. In the four-day period covered, Enliven was up 9.7%, though shares are still down 5% year-to-date.
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