Netflix, Inc. (NFLX), GameStop Corp. (GME): S&P Stocks That Have Defied Short-Sellers

With the new versions of the Xbox and PlayStation both using AMD chips, investors hope that big demand for the new consoles will help boost its own sales. Short-sellers still think that Advanced Micro Devices, Inc. (NYSE:AMD)’s failure to make big advances in the key PC and mobile markets will eventually force its shares back to earth.

Mailing it in
Finally, Pitney Bowes Inc. (NYSE:PBI) has thwarted short-sellers, climbing 66% despite 27% short interest. Shorts long believed that the company’s huge dividend yield would eventually have to drop given the decay in its historical dominance of the postage-meter business, and that long-awaited event finally happened in April. Yet the resulting decline in its shares proved short-lived, and bullish investors have pointed to smart divestiture moves of its European and North American management-services divisions as helping to show that Pitney Bowes Inc. (NYSE:PBI) is turning things around. Short-sellers may yet be proven right, but for now, they’ve felt a great deal of pain.

Watch your shorts!
Short-selling can be lucrative, but it’s also dangerous. Soaring stocks can definitely be hazardous to short-sellers’ financial health, and even when the short thesis looks right, there’s no guarantee the stock won’t continue climbing anyway.

The article 4 S&P Stocks That Have Defied Short-Sellers originally appeared on Fool.com is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter: @DanCaplinger. The Motley Fool recommends Netflix and owns shares of GameStop and Netflix. 

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