CPB’s short interest continues to be on the rise
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Shares of Campbell Soup Company (NYSE:CPB) are up 10% year-to-date, easily beating the broader market’s performance. CPB recently pulled back to its 1,000-day moving average, bounced, and Campbell Soup stock is now above a trendline connecting lower highs on a daily chart. On a monthly chart, CPB is above a trendline connecting lower highs since early 2020, with recent lows at this trendline around the $45 area. Campbell Soup stock gapped higher on June 8 after earnings, but has pulled back and now sits above its earnings day close.
Currently, a slew of analysts sport pessimistic outlooks on Campbell Soup stock, leaving ample room for upgrades moving forward. Specifically, all 11 covering brokerages recommend a tepid “hold” or worse rating. Short interest has been on the rise, up 16.6% since mid-October. This accounts for 8.5% of CPB’s available float, or over six days’ worth of pent-up buying power.
Rocky White is a Senior Quantitative Analyst for Schaeffer’s Investment Research. With nearly 14 years of experience in the financial services industry, White runs the quantitative analysis team at Schaeffer’s. Rocky holds a master’s degree in financial engineering and his research is widely quoted on major media outlets like Bloomberg TV, CNBC, and Fox Business News.