European Bank Short Interest
Author:
Ihor Dusaniwsky
Managing Director of Predictive Analytics, S3 Partners
Matthew Unterman
Director of Predictive Analytics, S3 Partners
Credit Suisse Group AG (CS US & CSGN SW) was down almost -6% in early morning trading due to press reports and social media chatter about possible capitalization-related issues and CDS prices spiking. CEO Ulrich Koerner’s reassurance that the bank has “strong capital base and liquidity position” has apparently caused the early morning negativity to subside with CS’s stock price up +2% in midday trading.
Combined ordinary (local) and ADR share short interest for Credit Suisse is $303 million, 2.42% SI % Float. It is the 12th largest European banking short.
Credit Suisse is the 12th Largest Short in the European Banking Sector (as of 10.03.22)
Name
Ticker
Country
SI % Float
S3 SI % Float
Fee
Consolidated Short Interest
BNP PARIBAS
BNP FP
France
3.66%
3.53%
0.40%
$1,676,755,918
HSBC HOLDINGS PLC
5 LN
UK
0.63%
0.63%
0.30%
$1,132,137,545
NORDEA BANK ABP
NDA FH
Finland
2.48%
2.42%
0.40%
$1,130,470,616
INTESA SANPAOLO SPA
ISP IM
Italy
2.91%
2.83%
0.40%
$861,420,207
BANCO SANTANDER SA
SAN SM
Spain
1.45%
1.42%
0.40%
$577,149,364
UBS GROUP AG-REG
UBSG SW
Switzerland
0.91%
0.90%
0.40%
$519,276,136
BANCO BILBAO VIZCAYA ARGENTA SA
BBVA SM
Spain
1.67%
1.64%
0.40%
$468,128,282
EQT AB
EQT SS
Sweden
4.02%
3.86%
0.40%
$375,745,256
CAIXABANK SA
CABK SM
Spain
2.72%
2.65%
0.40%
$362,322,347
HARGREAVES LANSDOWN PLC
HL/ LN
UK
8.86%
8.14%
0.30%
$322,799,249
ING GROEP NV
INGA NA
Netherlands
0.80%
0.79%
0.40%
$307,303,273
CREDIT SUISSE GROUP AG
CSGN SW
Switzerland
2.42%
2.36%
0.40%
$302,901,605
ABN AMRO GROUP NV
ABN NA
Netherlands
2.56%
2.49%
0.40%
$302,466,670
DEUTSCHE BANK AG
DBK GR
Germany
1.38%
1.36%
0.40%
$291,241,283
MEDIOBANCA SPA
MB IM
Italy
3.22%
3.12%
0.40%
$267,851,075
COMMERZBANK AG
CBK GR
Germany
3.15%
3.05%
0.40%
$236,567,269
FINECOBANK SPA
FBK IM
Italy
1.79%
1.76%
0.40%
$176,144,862
STANDARD CHARTERED PLC
STAN LN
UK
1.09%
1.08%
0.30%
$174,884,575
SKANDINAVISKA ENSKILDA BANKEN
SEBA SS
Sweden
0.83%
0.82%
0.40%
$166,856,969
ABRDN PLC
ABDN LN
UK
4.89%
4.66%
0.30%
$166,765,015
Total European Bank Short Interest
2.30%
2.21%
0.52%
$13,901,435,635
Overall short exposure in these banking stocks had been declining for most of the year with total consolidated short interest at $13.90 billion, down $962 million or -6.5% in 2022. But in September, we saw short interest increase by $718 million or +5.3% as $1.89 billion worth of new short selling more than offset a $1.18 billion decline in the market value of the stocks shorted.
European banking stocks with the largest increase in short selling over the last thirty days are:
European Bank Short Interest: Credit Suisse Sees 2nd Largest Increase in Short Selling Over the Past 30 Days
Name
Ticker
Country
SI % Float
S3 SI % Float
Consolidated Short Interest
30D Change Shares Shorted
NORDEA BANK ABP
NDA FH
Finland
2.48%
2.42%
$1,130,470,616
$843,992,012
CREDIT SUISSE GROUP AG
CSGN SW
Switzerland
2.42%
2.36%
$302,901,605
$166,716,162
BNP PARIBAS
BNP FP
France
3.66%
3.53%
$1,676,755,918
$150,071,413
BANCO SANTANDER SA
SAN SM
Spain
1.45%
1.42%
$577,149,364
$130,550,689
HSBC HOLDINGS PLC
5 LN
UK
0.63%
0.63%
$1,132,137,545
$126,417,748
COMMERZBANK AG
CBK GR
Germany
3.15%
3.05%
$236,567,269
$112,971,785
SWEDBANK AB
SWEDA SS
Sweden
0.72%
0.71%
$126,592,233
$88,547,059
DEUTSCHE BANK AG
DBK GR
Germany
1.38%
1.36%
$291,241,283
$78,197,795
EQT AB
EQT SS
Sweden
4.02%
3.86%
$375,745,256
$71,505,078
FINECOBANK SPA
FBK IM
Italy
1.79%
1.76%
$176,144,862
$63,111,868
European banking stocks with the largest increase in short covering over the last thirty days are below.
Name
Ticker
Country
SI % Float
S3 SI % Float
Consolidated Short Interest
30D Change Shares Shorted
ABN AMRO GROUP NV
ABN NA
Netherlands
2.56%
2.49%
$302,466,670
($146,726,669)
NATWEST GROUP PLC
NWG LN
UK
0.72%
0.71%
$116,916,619
($93,608,974)
SOCIETE GENERALE
GLE FP
France
0.77%
0.77%
$131,377,731
($88,516,996)
UNICREDIT SPA
UCG IM
Italy
0.25%
0.25%
$83,671,124
($77,003,150)
CREDIT AGRICOLE
ACA FP
France
0.71%
0.70%
$95,461,781
($35,075,947)
JYSKE BANK
JYSK DC
Denmark
3.45%
3.33%
$88,182,901
($34,916,604)
SKANDINAVISKA ENSKILDA BANKEN
SEBA SS
Sweden
0.83%
0.82%
$166,856,969
($31,721,734)
ING GROEP NV
INGA NA
Netherlands
0.80%
0.79%
$307,303,273
($25,151,202)
JANUS HENDERSON GRP PLC
JHG US
UK
3.24%
3.14%
$108,092,562
($21,339,835)
CAIXABANK SA
CABK SM
Spain
2.72%
2.65%
$362,322,347
($18,358,531)
Credit Suisse had the second largest increase in short selling in September and with its recent market volatility we should see continue short selling in the stock as traders look to increase their exposure. There are over 200 million ordinary\local shares available to borrow at G.C. levels (General Collateral, the cheapest borrow cost for the easiest to borrow stocks) while the ADRs are going at the 1.40% to 5.00% fee level.
