A2 milk short positioning on the rise

Short sellers are gambling on tough times ahead for A2. (Image: Getty)

Thu, 13 Apr 2023

A small but increasing number of investors are betting against A2 Milk despite an improving outlook in China, its main market.Short positioning lifted from 2.90% of shares on issue in early January to 4.55% in early April, according to data from the Australian Securities and Investments Commission.Short selling essentially involves borrowing a security from a brokerage and selling it on the open market. The aim is to buy it back for a lower price and pocket the difference after paying back the loan. Interest in shorting eases when f...

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