Top Stocks To Short Today As Markets Open Sluggishly

As COVID surges to unprecedented levels with additional shutdown measures taking place, markets dropped after yesterday’s surge. After the S&P 500 and Nasdaq NDAQ closed at record highs yesterday, markets cooled off this morning with the Dow Jones declining 175 points, or 0.6%, the S&P 500 falling 0.3%, and the Nasdaq dropping 0.9%. Outside of COVID, many other factors weighed on markets today as well. Senate Majority Leader Mitch McConnell rejected a bipartisan $908 billion stimulus package and President-elect Joe Biden said that he would not immediately remove tariffs on China. Federal Reserve Chairman Jerome Powell’s testimony yesterday calling the economic outlook “extraordinarily uncertain” also was cause for concern today. Furthermore, private payrolls disappointed in November. Private payrolls rose by 307,000 in November, falling well short of the expected 475,000. This is also a decline from the 365,000 added in October, and the lowest number since July. However, not all is bad. Steven Mnuchin called on Congress for $300 billion in aid for restaurants heading into the winter, and the UK formally approved Pfizer PFE and BioNTech’s vaccine candidate. Salesforce CRM also announced that it was acquiring messaging platform Slack for $27.7 billion- Salesforce’s largest deal ever. Although Salesforce declined 8.6% on the news, it is at least encouraging for the economy that big deals are happening again. 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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Carvana Co (CVNA)

Carvana is our first Top Short today. The company is a major innovator and disruptor in the car industry, and is a strong online used car dealer. Our AI systems rated Carvana D in Technicals, D in Growth, F in Low Volatility Momentum, and F in Quality Value. The stock closed up 0.37% to $251.13 on volume of 1,331,992 vs its 10-day price average of $237.25 and its 22-day price average of $217.24, and is up 159.03% for the year. Revenue grew by 23.45% in the last fiscal year and grew by 466.3% over the last three fiscal years, while EPS grew by -40.58% over the last three fiscal years. Revenue was $3939.9M in the last fiscal year compared to $858.87M three years ago, Operating Income was $(272.53)M in the last fiscal year compared to $(155.31)M three years ago, EPS was $(2.45) in the last fiscal year compared to $(4.23) three years ago, and ROE was (173.9%) in the last year compared to (200.9%) three years ago. Forward 12M Revenue is also expected to grow by 33.95% over the next 12 months.

MORE FROM FORBESCarvana (CVNA)

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Hannon Armstrong Sust Infr (HASI)

Hannon Armstrong is our next Top Short today. The company is focused on investing in sustainable infrastructure and climate change solutions. In fact, according to Hannon Armstrong’s website, they are the first public U.S. company solely dedicated to investments in climate change solutions. Our AI systems rated Hannon Armstrong C in Technicals, F in Growth, D in Low Volatility Momentum, and D in Quality Value. The stock closed down 0.8% to $54.22 on volume of 796,049 vs its 10-day price average of $53.48 and its 22-day price average of $49.81, and is up 79.36% for the year. Revenue grew by 23.45% in the last fiscal year and grew by 135.67% over the last three fiscal years, Operating Income grew by 34.94% in the last fiscal year and grew by 374.56% over the last three fiscal years, and EPS grew by 16.28% in the last fiscal year and grew by 152.95% over the last three fiscal years. Revenue was $77.34M in the last fiscal year compared to $40.52M three years ago, Operating Income was $33.87M in the last fiscal year compared to $9.63M three years ago, EPS was $1.24 in the last fiscal year compared to $0.57 three years ago, and ROE was 9.39% in the last year compared to 5.1% three years ago. The stock is also trading with a Forward 12M P/E of 36.45.

MORE FROM FORBESHannon Armstrong Sust Infr (HASI)

Inspire Medical Systems (INSP)

Inspire Medical Systems is our third Top Short today. The healthcare company is a medical innovation company dedicated to treating sleep apnea. Our AI systems rated the company C in Technicals, D in Growth, D in Low Volatility Momentum, and D in Quality Value. The stock closed up 2.22% to $189.86 on volume of 306,260 vs its 10-day price average of $181.02 and its 22-day price average of $171.25, and is up 154.88% for the year. Revenue grew by 17.34% in the last fiscal year and grew by 237.03% over the last three fiscal years, while EPS grew by -84.41% over the last three fiscal years. Revenue was $82.05M in the last fiscal year compared to $28.57M three years ago, Operating Income was $(34.9)M in the last fiscal year compared to $(16.0)M three years ago, EPS was $(1.4) in the last fiscal year compared to $(14.88) three years ago, and ROE was (21.88%) in the last year. Forward 12M Revenue is also expected to grow by 44.22% over the next 12 months.

MORE FROM FORBESInspire Medical System (INSP)

Ping Identity Holding Corp (PING)

Ping Identity Holding Corp is our next Top Short of the day. The Denver-based software company, which provides identity services, has been rated C in Technical, F in Growth, D in Momentum Volatility, and D in Quality Value by our AI systems. The stock closed down 1.51% to $22.15 on volume of 1,038,639 vs its 10-day price average of $21.96 and its 22-day price average of $22.87, and is down 9.07% for the year. Revenue grew by 2.33% in the last fiscal year and grew by 44.07% over the last three fiscal years, and was $242.9M in the last fiscal year compared to $172.54M three years ago. Operating Income was $7.36M in the last fiscal year compared to $24.28M three years ago, EPS was $(0.02) in the last fiscal year compared to $0.29 three years ago, and ROE was (0.25%) in the last year. Forward 12M Revenue is expected to grow by 10.53% over the next 12 months, and the stock is trading with a Forward 12M P/E of 65.63.

MORE FROM FORBESPing Identity Holding (PING)

Zillow Group Inc (Z)

Our final Top Short for the day is Zillow Z . Zillow is a large online real estate marketplace, and considers to increase its market share and diversify its business. Our AI systems rated Zillow D in Technicals, D in Growth, D in Momentum Volatility, and D in Quality Value. The stock closed down 0.58% to $107.19 on volume of 2,708,673 vs its 10-day price average of $107.98 and its 22-day price average of $104.75, and is up 137.09% for the year. Revenue grew by 27.42% in the last fiscal year and grew by 224.56% over the last three fiscal years, while Operating Income grew by -50.49% in the last fiscal year, and EPS grew by -3.27% in the last fiscal year. Revenue was $2742.84M in the last fiscal year compared to $1076.79M three years ago, Operating Income was $(246.84)M in the last fiscal year compared to $12.59M three years ago, EPS was $(1.48) in the last fiscal year compared to $(0.51) three years ago, and ROE was (9.11%) in the last year compared to (3.64%) three years ago. Forward 12M Revenue is expected to grow by 21.5% over the next 12 months, and the stock is also trading with a Forward 12M P/E of 193.85.

MORE FROM FORBESZillow Group (Z)

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