Is Semiconductor Short Interest Signalling an End to the Market Rally?

Technology

Published: September 13, 2018 9:50 am

Last Updated: January 11, 2020 5:59 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 pushed many of these companies to new highs, but with the return of volatility, semiconductors will have to rally again if markets want to return to record levels.

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

Intel Corp. (NASDAQ: INTC) saw its short interest decrease to 71.63 million shares. The previous level was 80.13 million. Intel shares were last seen trading at $45.60, in a 52-week range of $36.16 to $57.60.

The number of Advanced Micro Devices Inc. (NASDAQ: AMD) shares short increased slightly to 146.58 million from the previous reading of 146.33 million. Shares recently traded at $33.90, in a 52-week range of $9.04 to $34.14.

Qualcomm Inc. (NASDAQ: QCOM) saw the number of its shares short jump to 29.89 million from the 15.90 million reported in the previous period. Shares were changing hands at $74.18, in a 52-week trading range of $48.56 to $74.25.

Short interest in Applied Materials Inc. (NASDAQ: AMAT) rose to 14.39 million shares. The previous reading was 13.41 million. Shares were trading at $38.87, in a 52-week range of $37.39 to $62.40.

Micron Technology Inc. (NASDAQ: MU) saw its short interest increase to 55.62 million shares from the previous reading of 51.72 million. Shares were trading at $43.19, in a 52-week range of $34.09 to $64.66.

And the short interest in Broadcom Ltd. (NASDAQ: AVGO) shrank to 7.62 million shares from the previous 9.03 million. Shares were last seen trading at $234.25, in a 52-week range of $197.46 to $285.68.