Pilbara Minerals finally sees substantial drop in short sellers targeting its stock

The unwanted crown of being the ASX’s most short sold stock sits on a new head as pressure eases on Pilbara Minerals. The percentage of Pilbara Minerals shares held by short sellers dropped from 17.7 per cent to 11.6 per cent over the weekend, according to the latest data provided by the Australian Securities and Investments Commission — which is delayed by four trading days. Pilbara had been the most shorted stock on the ASX since the latter half of 2023, peaking above 22 per cent in August. That figure was slowly declining before the big drop between last Friday and Monday. The lithium major has dropped down to fifth place with uranium miners now the target of traders predicting share price falls. Paladin Energy is the new number one with a short sold percentage of 14.7 per cent, followed closely by fellow WA-based uranium producer Boss Energy with 14.6 per cent. The spot price of the radioactive commodity has slid about 30 per cent since mid-January, following a bullish run during the tail end of 2023 on hopes of a global nuclear power renaissance. Paladin’s shares were smashed earlier this month after the company admitted the restart of its flagship operation in Namibia is not going to plan. Water supply disruptions and lower-than-expected grade in the ore being processed were blamed as the main drivers. Boss Energy’s shares have been under pressure since May when shortly after first production from its mine in South Australia the company’s chief Duncan Craib cashed out for a mega payday worth over $20 million. Two of Boss’ three other directors also liquidated the majority of their holdings during this period.