Three Stocks Investors Should Consider Shorting Now

The market’s rally since mid-February has made life tougher for the market’s bears, but short-selling opportunities remain in names like Abercrombie & Fitch.
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The market’s rally since mid-February has made life tougher for the market’s bears, but short-selling opportunities remain in names like Crocs (CROX), Abercrombie & Fitch (ANF) and Groupon (GRPN), said David Bechtel, principal at the Barrow Long/Short Opportunity Fund (BFSLX). 'In February we saw a junk rally in some of our short names,' said Bechtel. 'These are companies that are low quality stocks trading at obscenely high multiples.' The Barrow Long/Short Opportunity Fund is flat thus far in 2016, according to fund-tracker Morningstar. The $33 million fund is up 3.4% in the past year, outpacing 96% of its peers in Morningstar’s long/short equity category. He is selling short Abercrombie & Fitch, up over 8% year-to-date, saying the retailer’s best days – and financial results - are far behind it.