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Barchart
Pathikrit Bose

1 Standout Tech Stock That Short Sellers Are Targeting

Short-selling can be an effective way for market participants to make money on stocks that they expect to decline in price. Still, when short-selling activity occurs en masse, it is not so pleasant for the company whose stock is the subject of all that bearish speculation. 

In the simplest terms, short-selling is an investment strategy that allows investors to profit from a decline in a stock's price. It typically involves borrowing shares of that company's stock from a broker, often on margin, to sell on the open market. The expectation is that the investor will be able to buy back those shares at a lower price in the future, allowing the investor to pocket the difference in price as the profit on the trade.

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