uploads/2017/10/SI-15.jpg

A Look at Short Interest in Flotek Industries on October 16

By

Updated

Short interest in Flotek Industries

Short interest in Flotek Industries (FTK) as a percentage of its float was 20.3% on October 16, 2017, compared to 22.8% on June 30, 2017. Since June 30, short interest in FTK has decreased 11%. Since June 30, FTK’s stock price has decreased 47%. 

So, investors’ negative bets on FTK have decreased since June 30, 2017, and fewer investors expect the stock’s price to fall. FTK’s stock price and short interest as a percentage of float have mostly been inversely related since October 2015. 

Flotek Industries constitutes 0.07% of the iShares Micro-Cap ETF (IWC). IWC has risen 5% since June 30, 2017. The S&P 500 Index (SPX-INDEX) has risen 6% since June 30, 2017.

Article continues below advertisement

Did crude oil price affect investors’ sentiment?

Crude oil prices have turned bullish since June 2017, rising 12% from June 30 until October 16. Investors’ sentiment toward the energy market has strengthened over the past three months, which has positively affected many oilfield services companies’ stock prices since June. 

FTK, however, has seen its stock price fall since June 30, resulting from cost inflation and the negative effects of recent natural disasters.

Short interest in Flotek Industries’ peers

Since June 30, 2017, short interest in Basic Energy Services (BAS) has decreased 36%, while its stock price has fallen 24%. 

Since June 30, short interest in Superior Energy Services (SPN) has decreased 37%, while its stock price has fallen 4%. 

Short interest in Key Energy Services (KEG) has decreased 26% since June 30, while its stock price fell 37% during this period. Investors’ negative bets on BAS, KEG, and SPN have decreased since June 30.

Has Flotek Industries’ correlation with crude oil prices changed in the past year? We’ll explore this topic in the next part of this series.

Advertisement

More From Market Realist