Fundamental Short Selling Research

Eric Fernandez, CFA

TwoRiversAnalytics

Cross Asset Strategy

<ul>
<li>Over the past 30 days, the best shorts underperformed the universe by -19.5%, (-19.1%, vs. 0.4%, )  Compared to the universe, they   </li>
<li>Were $1,889mn smaller cap,  had 57% higher beta, had higher long term forecast earnings growth,</li>
<li>Had higher next 12M sales growth yet had lower next 12M EPS growth,</li>
</ul>


Over the past 30 days, the best shorts underperformed the universe by -19.5%, (-19.1%, vs. 0.4%, )  Compared to the universe, they   
Were $1,889mn smaller cap,  had 57% higher beta, had higher long term forecast earnings growth,
Had higher next 12M sales growth yet had lower next 12M EPS growth,


What's Working on the Short Side?