Key insights
- Short interest in the software sector, tracked by IGV, has surged by nearly 300% in the past year, with Microsoft (MSFT) seeing a 73% increase. This significant rise in bearish sentiment suggests potential downside pressure on software stocks, including Microsoft, which represents a substantial portion of the IGV ETF. The trend appears to be accelerating, indicating growing investor skepticism towards the sector's valuations or future growth prospects.
has anyone else noticed the massive jump in short interest across software stocks?
MSFT short interest has increased from 51,170,267 shares a year ago to 88,696,120 shares today, a rise of 37,525,853 shares, or roughly 73%.
What's even crazier the software sector IGV went from12,031,367 to 47,656,578 shares short in the last year almost 300%.
This matters because Microsoft is almost 8% of IGV, in other words Microsoft is one of the largest positions exposed to the software short trade. and is basically collateral damage
https://www.nasdaq.com/market-activity/stocks/msft/short-interest
the funny thing it's not even slowing the latest data is showing it increase even faster