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7 Highly Shorted Stocks Set for a Big Move

The bears are circling these stocks, but some could escape

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Pitney Bowes

Pitney Bowes (NYSE:PBI)Short Interest: 40.3%
2013 Return: +68%

A case study in a short squeeze would be Pitney Bowes (PBI) after earnings on July 30. Apollo Global Management (APO) agreed to acquire its management-services division for $400 million to allow PBI to create a more focused mail marketing and e-commerce company, and the stock soared 25% in a matter of days.

This despite swinging to another quarterly loss.

Needless to say, the direct-mail game has fallen by the wayside in a digital age, and the competition facing PBI is fierce at a time when its total debt is larger than the entire company’s market cap.

There’s a reason PBI just slashed its dividend in half. While the buyout news might have squeezed out some shorts, don’t think PBI is a good long-term play.

Article printed from InvestorPlace Media,

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