18 Best 52-Week Low Stocks to Buy Now According to Short Sellers

8. Vipshop Holdings Limited (NYSE:VIPS)

52 Week Range: $11.50 – $20.19

Current Share Price: $12.34

Number of Hedge Fund Holders: 21

Short interest rate: 1.52%

Vipshop Holdings Limited (NYSE:VIPS) is a top consumer cyclical company operating in China’s robust internet retail sector. It offers women’s wear, menswear, sportswear, sporting goods, shoes and bags, accessories, baby and children products, and skincare. The company is also engaged in providing financial services, including supplier financing.

While the stock is up for the year, it is still trading close to its 52-week lows, offering tremendous upside potential owing to the solid underlying fundamentals.

The company’s second-quarter results showcased the flexibility and robustness of its main business strategy. Despite experiencing a dip in sales growth, Vipshop Holdings Limited (NYSE:VIPS) reached peak operational efficiency. This was demonstrated by the strong showing of its primary brands and engaged Super VIP members, highlighting the business’s solid foundation. Revenue in the quarter totaled $3.7 billion as gross profit increased 2.2% year over year to $872.6 million.

Vipshop Holdings Limited (NYSE:VIPS) trades at a discount with a price-to-earnings multiple of 5. In contrast, stocks in the consumer cyclical sector trade at an average P/E of 23. On the other hand, it rewards investors with a dividend yield of 3.39%, ideal for generating some passive income. The percentage of shares outstanding short as of the end of July stood at 1.52%.

By the end of June 2024, 21 among the 912 hedge funds tracked by Insider Monkey were the firm’s investors. Vipshop Holdings Limited (NYSE:VIPS) ‘s largest hedge fund investor is Lei Zhang’s Hillhouse Capital Management due to its $192.77 million stake.