Examining the Recent Short Selling of Domino's Pizza Benzinga

Benzinga – Benzinga Insights, Benzinga Staff Writer.

Domino's Pizza (NYSE:DPZ)'s short float ratio has decreased by 9.15% since the last report. The company recently 1.32 million shares were sold shortThis represents 4.27% of the total available common shares. Based on trading volume, It takes an average of 2.95 days for a trader to liquidate a short position.

Why is short selling important? A short sale is the number of shares that have been sold short but not yet covered or liquidated. Short selling occurs when a trader sells shares of a company that they do not own in the hopes that the price will fall. Traders make money from shorting if the stock price falls and lose money if the stock price rises.

Short interest is important to track because it can act as an indicator of market sentiment towards a particular stock. An increase in short interest can indicate that investors are becoming more bearish, while a decrease in short interest can indicate that investors are becoming more bullish.

Domino's Pizza short interest graph (3 months)

As can be seen from the chart above, the percentage of Domino's Pizza shares shorted has decreased since the last report. While this doesn't mean the stock price will rise in the short term, traders should be aware that fewer shares are being shorted.

Comparing Domino's Pizza's short interest to its peers Peer comparisons are a common way analysts and investors gauge a company's performance. A company's peers are other companies with similar characteristics, such as industry, size, history, or financial structure. You can find a company's peer group by reading a company's 10-K or proxy statement or by conducting your own similarity analysis.

According to Benzinga Pro, the average short interest in Domino's Pizza's peers is 10.45%, which is few It has a larger short interest balance than most of its peers.

The increase in short selling balance is actually strong Is it for stocks? This post from Benzinga Money explains how you can benefit from it.

This article was generated by Benzinga's automated content engine and has been reviewed by an editor.

© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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