Short Interest In Kronos Worldwide Moves 12.5% Lower

The most recent short interest data has been released by the NASDAQ for the 01/15/2014 settlement date, which shows a 391,383 share decrease in total short interest for Kronos Worldwide Inc ( KRO), to 2,748,193, a decrease of 12.47% since 12/31/2013. Total short interest is just one way to look at short data; another metric that we here at Dividend Channel find particularly useful is the "days to cover" metric because it considers both the total shares short and the average daily volume of shares traded. The number of shares short is then compared to the average daily volume, in order to calculate the total number of trading days (at the average volume) it would take to close out all of the open short positions if every share traded represented a short position being closed. Average daily volume for KRO at the 01/15/2014 settlement increased to 662,686, as compared to 401,815 at the 12/31/2013 report. That brought "days to cover" down to 4.15, a 46.92% decrease from the 7.81 days to cover calculated at the previous short interest data release.

Top 25 S.A.F.E. Dividend Stocks »

The below chart shows the historical "days to cover" for KRO at previous short interest release dates:

A decreased "days to cover" value could indicate that short sellers are no longer expecting the same decline in stock price they once were, or it could also indicate a long bet elsewhere was closed where KRO had been shorted as a hedge.

The chart below shows the one year performance of KRO shares, versus its 200 day moving average. Looking at this chart, KRO's low point in its 52 week range is $14.44 per share, with $20.20 as the 52 week high point — that compares with a last trade of $15.76.

If you liked this article you might like

The Stock That Crashed 25% Overnight Has a Lesson to Teach Us: Market Recon

10 Sectors That Will Profit Big-Time From Oil's Crash

Finding Opportunities in This Mixed Market Action

New Tronox Chairman Faces Test at Coatings and Pigments Maker

Market Gauges Warn That the Rally's Fuel Tank Is Empty