Which Way Are Traders Betting This Stock Will Go: OneSpan Inc. (:OSPN)? A Look at the Shorts

Based on the latest information, investors are viewing at OneSpan Inc. (:OSPN)’s short data and trying to think through market sentiment on which way the market thinks the stock is moving. The company has 2.50% of total shares float short, yielding a short ratio of 3.61.

There is no shortage of financial news and opinions as we live in the age of the 24 hour news cycle. Headlines and broker opinions seem to be around every corner when dealing with the equity market. Trying to keep up with all the swirling news can make ones head spin. Even though there may be some significant news mixed in, a lot of the headlines may not be worth paying much attention to. Figuring out what information is helpful may take some time for the investor to think through. Once the filter is in place, investors may find it much simpler to focus on the critical data. Making investment decisions solely based on news headlines may end up causing the portfolio to suffer down the line. 

When investors engage in short selling or “shorting a stock”, they actually borrow shares from an existing owner, sell the borrowed shares at market price, and take the cash.  The short sellers then promise to replace the stock in the future and makes dividend payments out of their own pockets to cover the dividend income that is no longer exists on the original, now borrowed and sold, shares.

They hope that the share price will fall or that the outfit will fail and go bankrupt, sought-after the equity holders to ruin.  The short sellers will then buy the stock back at a much lower price and replace the borrowed shares, pocketing the difference. 

Shorting a stock can be very risky if the price doesn’t decline like planned and, in fact, increases.  It’s critical for any investor to determine the dangers and potentially catastrophic financial losses of short selling.


Let’s take a look at how the stock has been performing recently.  Over the past twelve months, OneSpan Inc. (:OSPN)’s stock was 17.41%.  Over the last week of the month, it was 5.97%, -5.66% over the last quarter, and  -19.80% for the past six months. 

Over the past 50 days, OneSpan Inc. stock’s -16.31% gone to pieces of the high and 18.53% removed from the low.  Their 52-Week High and Low are noted here.  -35.87% away from the high and 41.30% from the low. 

The consensus analysts recommendation at this point stands at 1.70 on OneSpan Inc. (:OSPN).  This is based on a 1-5 scale where 1 implies a Strong Buy and 5 a Strong Sell. The same analysts are predicting that the outfit shares will trade to $23.33 within the next 12-18 months. 

High yielding stocks can be very tempting for investors. Trying to maximize the return on every dollar invested is a goal of many individuals. What investors should look into remember is that the stocks that promise the highest return potential may also be some of the riskiest to own. Because past performance can’t guarantee future results, investors may must do some additional home work when adding high exposure stocks to the portfolio. Most investors are always on the lookout to bring to light that next big stock winner before everyone else. Making sure that they are not adding too much additional exposure when doing this may be the key to keeping the portfolio balanced

Disclaimer: The views, opinions, and information expressed in this article are those of the authors and do not necessarily reflect the official policy or position of any outfit stakeholders, financial professionals, or analysts. Examples of analysis performed within this article are only examples. They should not be utilized to make stock portfolio or financial decisions as they are based only on limited and open source information. Assumptions made within the analysis are not reflective of the position of any analysts or financial professionals.

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