04 October 2017
Reporter: Jenna Lomax

Ocado and Snap top FIS hot stocks lists

Ocado, led the FIS Astec Analytics hot stocks list for Europe, the Middle East Africa (EMEA) for the week starting 25 September.

The british online supermarket saw short interest in its shares increase by 46 percent at the start of last week, before falling back slightly to a 37 percent increase.

Euronav, a Belgium-based oil transport and storage company, came second in the EMEA hot stocks list as its short interest advanced by 35 percent over the past two weeks.

FIS noted this was a new 12-month peak for the company, if only by a slim margin over the levels previously seen in June.

Euronav share price has continued to recover from the 12-month low of just under €6 in August, which FIS reported was because the third quarter losses were lower than expected.

This may be of little consequence to Euronav, as available supply at the firm is currently at 43 percent, leading FIS to predict the firm may move further down its hot stocks in the near future.

For the Americas hot stocks list, Snap, owner of photo sharing app Snapchat, was top of the list after volumes rose to 6 percent up from the previous week.

At the beginning of September, Snap experienced a short interest increase of 53 percent, representing a level of volatility that was to be expected from a product that is inexorably linked to user volumes.

However, FIS said in this week’s report: “Though there are expectations that Snap will fail to reach full year estimates, short sellers are well placed to take advantage of any disappointing results not already priced in, but long investors seem to retain positive sentiments toward the longer-term value of Snap.”

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