Best Stocks To Short Today As Markets Surge After Earth-Shaking Vaccine News

Markets skyrocketed to all-time highs today after Pfizer PFE and BioNTech revealed that their COVID-19 vaccine is more than 90% effective. Dr. Anthony Fauci, the director of the National Institute of Allergy and Infectious Diseases, said that a vaccine that was 50% to 60% effective would be acceptable. So this 90% efficacy rate certainly gave investors a pleasant surprise. The Dow DOW Jones hit an all-time high after trading 1,563 points higher, or 5.5%. The S&P 500 also reached a record, popping 3.7%, while The Nasdaq NDAQ “lagged” trading 1.3% higher. The small-cap Russell 2000 index also gained 4.6%. Nobody expected this to be the prime catalyst moving the markets today. After Joe Biden was formally declared President-elect over the weekend, investors anticipated this being the prime catalyst. But certainly, this news about the potential vaccine gives investors the brightest light at the end of the tunnel to date. Travel, restaurant and hospitality stocks surged today. Shares of cruise line Carnival Corp. CCL.U surged by 18%, Southwest Airlines LUV jumped 9%, and Disney gained 6%. The deep learning algorithms at Q.ai have crunched the data to give you a set of Top Shorts. Our Artificial Intelligence (“AI”) systems assessed each firm on parameters of Technicals, Growth, Low Volatility Momentum, and Quality Value to find the best short plays.

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Boyd Gaming Corp (BYD)

Nevada based gaming and hospitality company Boyd Gaming Corp BYD is our first Top Short of the day. While the vaccine news from today is certainly encouraging, COVID is still here, surging, and harming the hospitality industry. Our AI systems rated the company D in Technicals, F in Growth, D in Low Volatility Momentum, and D in Quality Value. The closed down 1.22% to $33.23 on volume of 796,367 vs its 10-day price average of $32.43 and its 22-day price average of $33.05, and is up 10.58% for the year. Revenue was $3326.12M in the last fiscal year compared to $2400.82M three years ago, Operating Income was $472.57M in the last fiscal year compared to $343.38M three years ago, EPS was $1.38 in the last fiscal year compared to $1.64 three years ago, and ROE was 13.08% in the last year compared to 16.54% three years ago. Forward 12M Revenue is expected to grow by 29.53% over the next 12 months, and the stock is trading with a Forward 12M P/E of 15.36.

MORE FROM FORBESBoyd Gaming (BYD)

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Kar Auction Services Inc (KAR)

Car auctioning company Kar Auction Services is our second Top Short of the day. Kar operates through two segments: ADESA, Inc. (ADESA Auctions or ADESA) and Automotive Finance Corporation (AFC). Our AI systems rated Kar Auction Services C in Technicals, D in Growth, D in Low Volatility Momentum, and D in Quality Value. The stock closed down 1.49% to $16.5 on volume of 2,161,925 vs its 10-day price average of $15.27 and its 22-day price average of $15.76, and is down 25.2% for the year. Revenue grew by 4.05% over the last three fiscal years and was $2781.9M in the last fiscal year compared to $2238.8M three years ago. Operating Income was also $314.1M in the last fiscal year compared to $326.5M three years ago, EPS was $1.42 in the last fiscal year compared to $2.62 three years ago, and ROE was 5.93% in the last year compared to 12.07% three years ago. Forward 12M Revenue is expected to grow by 11.72% over the next 12 months, and the stock is trading with a Forward 12M P/E of 12.16.

MORE FROM FORBESKAR Global (KAR)

Ovintiv Inc (OVV)

Ovintiv Inc is back on our list today as the third Top Short. The Denver based energy company is involved in natural gas, and hydrocarbon exploration and production. Our AI systems rated Ovintiv D in Technicals, F in Growth, F in Low Volatility Momentum, and F in Quality Value. The stock closed down 1.79% to $9.34 on volume of 3,909,788 vs its 10-day price average of $9.32 and its 22-day price average of $9.46, and is down 58.32% for the year. Revenue grew by 47.51% over the last three fiscal years and was $7013.0M in the last fiscal year compared to $3892.0M three years ago. Operating Income was also $729.0M in the last fiscal year compared to $1074.0M three years ago, EPS was $0.9 in the last fiscal year compared to $4.25 three years ago, and ROE was 2.69% in the last year compared to 12.87% three years ago. The stock is also trading with a Forward 12M P/E of 10.54.

MORE FROM FORBESOvintiv (OVV)

Scientific Games Corp (SGMS)

Scientific Games Corp SGMS is our second gaming stock on our list of Top Shorts today. Scientific Games Corporation provides gambling products and services to lottery and gambling organizations around the world. Our AI systems rated the company D in Technicals, F in Growth, D in Low Volatility Momentum, and D in Quality Value. The stock closed up 2.51% to $36.0 on volume of 2,866,725 vs its 10-day price average of $33.39 and its 22-day price average of $33.91, and is up 33.83% for the year. Revenue was $3400.0M in the last fiscal year compared to $3084.0M three years ago, Operating Income was $583.0M in the last fiscal year compared to $440.0M three years ago, and EPS was $(1.4) in the last fiscal year compared to $(2.72) three years ago. Forward 12M Revenue is also expected to grow by 13.62% over the next 12 months.

MORE FROM FORBESScientific Games (SGMS)

Superior Industries Intl (SUP)

Minnesota-based manufacturing company Superior Industries is our final Top Short for today. The company has several divisions that engineer, manufacture, service and sell dry bulk processing and handling equipment, fuel delivery and storage equipment and precast concrete products. Our AI systems rated the company F in Technicals, D in Growth, C in Low Volatility Momentum, and D in Quality Value. The stock closed up 23.81% to $2.34 on volume of 3,182,926 vs its 10-day price average of $1.64 and its 22-day price average of $1.49, and is down 37.77% for the year. Revenue grew by 0.02% over the last three fiscal years and was $1372.49M in the last fiscal year compared to $1108.06M three years ago. Operating Income was $68.68M in the last fiscal year compared to $57.42M three years ago, EPS was $(5.1) in the last fiscal year compared to $(1.01) three years ago, and ROE was (20.29%) in the last year compared to (1.22%) three years ago. Forward 12M Revenue is also expected to grow by 19.43% over the next 12 months.

MORE FROM FORBESSuperior Industries International Inc. (SUP)

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