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Wed, December 11, 2024

Short-Selling on the TSX: The Stocks Investors Are Betting Against


Published on 2024-12-11 21:21:09 - The Motley Fool Canada
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  • High-risk investors engage in short-selling, betting against some TSX stocks for bigger profits. The widely used strategy to make money from stocks is to buy low and sell high. You buy at the lowest price point possible, then unload at a much higher price to maximize profits. However, some investors profit from falling share prices.

The article from Fool.ca discusses the practice of short selling on the Toronto Stock Exchange (TSX), highlighting which stocks investors are currently betting against. Short selling involves borrowing shares of a stock, selling them, and then buying them back at a lower price to return to the lender, profiting from the price difference. The article lists several TSX stocks that have high short interest, indicating that many investors believe these stocks are overvalued or will decline in value. Notable mentions include companies in sectors like technology, real estate, and cannabis, which are facing various challenges such as regulatory hurdles, market saturation, or financial instability. The piece also touches on the risks associated with short selling, including the potential for unlimited losses if the stock price rises instead of falls, and the impact of market volatility on short positions.

Read the Full The Motley Fool Canada Article at:
[ https://www.fool.ca/2024/12/11/short-selling-on-the-tsx-the-stocks-investors-are-betting-against/ ]
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