The Motley Fool Previous Page


7 Stocks Under Attack

http://www.fool.com/investing/general/2008/02/15/7-stocks-under-attack.aspx

Rich Duprey
February 15, 2008

Since everyone loves a winner, it's reasonable to assume that everyone hates a loser -- everyone but short sellers, at least. These contrarian investors bet that hot stocks are primed to fall, aiming to turn their pessimism into potential profits.

This week, let's look at companies on the Nasdaq exchange with the biggest increase in shares short. We'll then consult the collective intelligence of Motley Fool CAPS to see which of these firms Fools believe have the power to make short work of short sellers.

Company

Shares Short, Jan. 31

Shares Short, Jan. 15

% Change

Total Shares Out

1-Year Return

CAPS Rating (out of 5)

Intel (NASDAQ:INTC)

63.9

43.2

47.79%

5840

(1.25%)

****

Dell (NASDAQ:DELL)

44.9

34.5

29.90%

2240

(17.11%)

**

Solarfun Power (NASDAQ:SOLF)

11.3

2.8

309.17%

56.2

20.43%

***

Marvell Technology (NASDAQ:MRVL)

36.5

28.1

30.00%

592.8

(40.62%)

****

Popular (NASDAQ:BPOP)

26.6

20.1

32.44%

280.0

(29.03%)

***

American Capital Strategies (NASDAQ:ACAS)

24.0

17.6

36.37%

187.7

(21.21%)

*****

Rent-A-Center (NASDAQ:RCII)

12.0

6.0

100.66%

66.8

(39.96%)

**

Shares short data courtesy of wsj.com. CAPS rating courtesy of Motley Fool CAPS. Share counts in millions.

Of course, this isn't a list of stocks to buy -- or short! These stocks could have serious problems that warrant their short interest, but they might also be stricken by short-term troubles. Only Foolish due diligence will tell you for certain; our 83,000-strong CAPS community just offers a good place to start.

Most of these companies are generally well-liked; they've garnered three stars or better on their CAPS ratings. Yet