These are the most shorted stocks in the U.S. right now

These are the most shorted stocks in the U.S. right now

These are the most shorted stocks in the U.S. right now

The Wall Street sign is seen outside The New York Stock Exchange (NYSE) in New York, February 16, 2021.
Brendan McDermid | Reuters

Heavily-shorted stocks have been making the headlines in recent weeks after a deluge of retail investment led the share price of GameStop and others to skyrocket.

GameStop shares surged as high as $325 a share at the end of January as retail traders inspired by the Reddit thread WallStreetBets piled in, creating a short-squeeze on hedge funds with substantial short positions against the stock. The share price has since fallen back and is now trading just over $40.

Short-selling is a trading strategy that enables investors to capitalize on the depreciation of a stock by borrowing a share and selling it at current market value with a view to repurchasing them at a lower price in future.

GameStop used to be the most shorted stock on the market, with 138% of its float shares in short positions, but the soaring share price forced a number of short-sellers to close out their positions, in some cases at substantial losses.

According to FactSet data, the bricks-and-mortar video game remains the seventh-most shorted stock stateside, with short interest at 39.29% of the company’s float.

Here is a list of the other most-shorted stocks trading on the New York Stock Exchange and Nasdaq Composite.