Honeywell Intl’s Short Interest Rises 22.22%: What Investors Need to Know
Honeywell Intl, a well-known company listed on the NYSE under the ticker symbol HON, recently reported a significant increase in its short percent of float. According to the latest data, the company has 7.16 million shares sold short, representing 1.1% of all regular shares available for trading. This marks a 22.22% increase in short interest since the last report, with traders needing an average of 1.93 days to cover their short positions.
Why does short interest matter? Short interest is the number of shares that have been sold short but not yet covered or closed out. Short selling involves selling shares of a company that the trader does not own, with the expectation that the stock price will decline. Monitoring short interest can provide valuable insights into market sentiment towards a specific stock. An increase in short interest may indicate a bearish outlook, while a decrease could signal bullish sentiment.
In comparison to its peers, Honeywell Intl’s short interest remains relatively low. According to data from Benzinga Pro, the average short interest as a percentage of float for Honeywell’s peer group is 1.52%, indicating that the company has less short interest than most of its competitors. It is worth noting that increasing short interest can sometimes be bullish for a stock, as highlighted in a post by Benzinga Money on profiting from short squeezes.
As illustrated in the short interest graph for the past three months, Honeywell Intl’s short interest has been on the rise. While this does not necessarily predict a near-term stock decline, investors should be aware of the growing number of shares being shorted.
In conclusion, tracking short interest can provide valuable insights for investors, offering a glimpse into market sentiment and potential price movements. By comparing short interest levels against peers and understanding the implications of increasing short interest, investors can make more informed decisions when trading Honeywell Intl stock.
Please note that this article was generated by Benzinga’s automated content engine and reviewed by an editor.
