Looking at Netcapital Inc’s Recent Short Interest – Netcapital (NASDAQ:NCPL)

Netcapital Inc (NYSE:NCPL) Short interest as a percentage of floating rate has risen 154.8% since the last report. According to the data reported by the exchange, there are now 639 thousand shares have been sold shortwhich is 10.09% of all regular shares available for trading. Based on trading volume, it would take traders an average of 1.0 days to cover their short positions.

Why short-term interest is important

Short interest is the number of shares that have been sold short, but have not yet been covered or closed. Short selling is when a trader sells shares of a company he does not own, hoping the price will fall. Traders make money short selling when the stock price falls and lose when it rises.

It is important to monitor short interest because it can act as an indicator of market sentiment toward a particular stock. A rise in short-term interest rates can signal that investors have become more bearish, while a decline in short-term interest rates can signal that they have become more bullish.

See also: List of the most shorted stocks

Netcapital Inc short interest rate chart (3 months)

As you can see in the chart above, the percentage of shares sold short for Netcapital Inc has grown since the last report. This doesn’t mean stocks will fall in the short term, but traders should be aware of more stocks being shorted.

Comparison of Netcapital Inc’s short holdings with those of competitors

Peer comparison is a popular technique among analysts and investors to gauge how well a company is performing. A company’s peer is another company that has similar characteristics, such as industry, size, age, and financial structure. You can find a company’s peer group by reading its 10-K, proxy filings, or by doing your own similarity analysis.

According to Benzinga Pro, Netcapital Inc’s average for short interest as a percentage of float is 0.77%, meaning the company more short interest rates than most of its peers.

This article was generated by Benzinga’s automated content engine and was reviewed by an editor.