GT Advanced Technologies Inc (GTAT), Sodastream International Ltd (SODA), NII Holdings, Inc. (NIHD): The Nasdaq’s 5 Most Hated Stocks

Uni-Pixel

Why are investors shorting Uni-Pixel?

For short sellers, the case against Uni-Pixel is one of too far, too fast. The company develops flexible electronic film, which, according to Foolish colleague Steve Symington, will be a $32 billion market by 2018. However, prior to this year, Uni-Pixel had only brought in $76,000 in total annual revenue and was planning to go from practically zero production to a major ramp-up in orders. Short sellers have to believe that competition in this space, as well as expansion hiccups, will hamper Uni-Pixel.

Is this short interest deserved?

Although the technology is incredibly cool, I don’t see any reason why short sellers won’t be right until Uni-Pixel’s bottom line proves them wrong. The threat of Apple becoming a competitor, coupled with its inexperience in ramping up a product line gives me enough cause for concern to believe that short sellers will remain on the offensive here.

The article The Nasdaq’s 5 Most Hated Stocks originally appeared on Fool.com and is written by Sean Williams.

Fool contributor Sean Williams has no material interest in any companies mentioned in this article. You can follow him on CAPS under the screen name TMFUltraLong, track every pick he makes under the screen name TrackUltraLong, and check him out on Twitter, where he goes by the handle @TMFUltraLong.The Motley Fool recommends and owns shares of Apple, PepsiCo, and SodaStream. It also recommends Coca-Cola and Goldman Sachs.

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