Sirius XM Keeps Shaking the Bears Away

Naysayers are having a change of heart when it comes to Sirius XM Holdings (NASDAQ: SIRI). The leading premium radio provider has seen its short interest shrink from a peak of 266.5 million at the end of July to just 232.8 million at the end of September.

That's still a large number of bearish wagers, and will always be. Sirius XM's low stock price, heavy volume, and historical volatility are magnetic to pessimistic speculators. Arbs shorting Sirius XM to hedge long bets on its majority stakeholder will also naturally prop up the share count. However, the latest tally is the lowest short interest on Sirius XM since October of last year. Bears are closing out their positions, and with the stock up 40% over the past year it's easy to see why.

Image source: Sirius XM.

Source: Fool.com