Technology

Does Short Interest in Major Semiconductors Signal a Market Rally?

Chris Lange

Published: April 12, 2017 9:05 am

Last Updated: January 12, 2020 1:03 pm

Semiconductor trends are considered to be leading indicators of technology and broader electronics demand. In a wider sense, semiconductor and tech stocks are considered to be leading indicators for the markets in general. A strong rally in the tech sector has pushed many of these companies to new highs, but the Dow and S&P have only recently pulled back from all-time highs. Will this pullback continue?

The March 31 short interest data have been compared with the previous report. Short interest decreased in most of these selected semiconductor stocks.

Intel Corp. (NASDAQ: INTC) saw its short interest increase to 93.26 million shares. The previous level was 91.83 million. Shares were last seen at $35.74, in a 52-week trading range of $29.50 to $38.45.

The number of Advanced Micro Devices Inc. (NASDAQ: AMD) shares short decreased to 111.32 million from the previous level of 114.91 million shares. Shares recently traded at $13.10, in a 52-week range of $2.60 to $15.55. Note that, like Intel, AMD is one of the most shorted Nasdaq stocks.

Qualcomm Inc. (NASDAQ: QCOM) saw the number of its shares short rise to 16.70 million, compared to the 15.51 million reported in the previous period. Shares were changing hands at $55.35, in a 52-week range of $50.11 to $71.62.

Short interest in Applied Materials Inc. (NASDAQ: AMAT) fell to 12.66 million shares. The previous reading was 13.95 million. Shares were trading at $38.20, in a 52-week range of $19.46 to $39.81.

Micron Technology Inc. (NASDAQ: MU) saw its short interest decrease to 43.41 million shares from the previous reading of 45.25 million. Shares were trading at $27.18, in a 52-week range of $9.35 to $29.87.

And the short interest in Broadcom Ltd. (NASDAQ: AVGO) decreased to 3.92 million shares in the period, from the previous 4.98 million. Shares were last seen at $217.55, in a 52-week range of $139.18 to $227.75.