Semiconductor Short Interest Reacts to Recent Highs

The short interest data for the semiconductor industry have come out for the November 14 settlement date. These chip stocks all took a hit during the market sell-off in mid-October, but recent short interest data has shown that investors seemed to be growing marginally more optimistic on this sector as a whole. It is important to note that semiconductor trends are considered to be leading indicators of technology and broader electronics demand.

Advanced Micro Devices Inc. (NYSE: AMD) saw its short interest increase to 144.7 million shares, with 13.15 days to cover, from 139.7 million in the previous period. Short interest in this period and the mid-October period are relative highs on the year dating back to July. Shares closed Tuesday $2.83, which falls within a 52-week range of $2.54 to $4.80.

Applied Materials Inc. (NASDAQ: AMAT) saw its short interest rise slightly to 73.5 million shares from the previous level of 73.4 million. The days to cover rose to 6.59 from the previous level of 4.86. Shares closed Tuesday at $23.23. The stock has been trading closer to its 52-week high of $23.58. The 52-week low is $16.40.

Intel Corp. (NASDAQ: INTC) saw its short interest reading for the November 14 settlement date fall to 181.5 million with 6.75 days to cover from a relative high of 204.4 million in late October. This new level increased dramatically from the mid-October level of 137.2 million. The 200 million mark had not been broken since mid-April. The stock’s 52-week high is $36.62 and the low is 23.40, and shares closed Tuesday at $36.32.

Micron Technology Inc. (NASDAQ: MU) saw its short interest fall to 94.5 million from 103.5 million, with an increase in days to cover to 5.56. Micron moved an average daily share volume of 16.99 million this period, which is lower than the normal level with only one other period moving less shares on the year. Micron shares closed Tuesday at $34.80. The stock has a 52-week trading range of $20.29 to $35.25.

SanDisk Corp. (NASDAQ: SNDK) saw its short interest increase to 15.1 million, while the days to cover increased to 5.88 from 3.06. After remaining in the 16 million to 18 million range since April, the current level of short interest has broken through in the past four readings and posted its second lowest reading of the year. The 52-week range for SanDisk is $64.50 to $108.77. Shares closed Tuesday at $103.12.

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