TerraForm Power (TERP) Short Interest Ratio & Short Volume

Short interest is the volume of TerraForm Power shares that have been sold short but have not yet been covered or closed out. As of July 15th, traders have sold 3,010,000 shares of TERP short. Learn More on TerraForm Power's current short interest.

The short interest ratio, also known as the "days to cover ratio", is calculated by dividing the number of shares of a stock sold short divided by its average trading volume. A short interest ratio ranging between 1 and 4 generally indicates strong positive sentiment about a stock and a lack of short sellers. A short interest ratio of 10 or greater indicates strong pessimism about a stock. TERP shares currently have a short interest ratio of 4.0. Learn More on TerraForm Power's short interest ratio.

TerraForm Power saw a increase in short interest in the month of July. As of July 15th, there was short interest totaling 3,010,000 shares, an increase of 1.7% from the previous total of 2,960,000 shares. Changes in short volume can be used to identify positive and negative investor sentiment. Investors that short sell a stock are betting that its price will decline in the future. An increase in short sale volume suggests bearish (negative) sentiment among investors. A decrease on short sale volume suggests bullish (positive) sentiment.

Here is how the short interest of companies compare to TerraForm Power: Clearway Energy, Inc. (2.65%), IDACORP, Inc. (2.56%), Portland General Electric (5.04%), Enel Chile S.A. (0.09%), Algonquin Power & Utilities Corp. (1.84%), Companhia Paranaense de Energia - COPEL (1.15%), Ormat Technologies, Inc. (5.45%), Black Hills Co. (4.25%), Otter Tail Co. (8.03%), PNM Resources, Inc. (1.92%),

As of the most recent reporting period, the following stocks had the largest short interest positions: Tesla, Inc. ($3.93 billion), Wayfair Inc. ($3.63 billion), The Charles Schwab Co. ($2.75 billion), Aon plc ($2.70 billion), The Clorox Company ($2.61 billion), Carnival Co. & plc ($2.13 billion), Snap Inc. ($2.00 billion), Moderna, Inc. ($1.98 billion), The Kroger Co. ($1.93 billion), and International Flavors & Fragrances Inc. ($1.75 billion). View all of the most shorted stocks.

Short selling TERP is an investing strategy that aims to generate trading profit from TerraForm Power as its price is falling. To short a stock, an investor borrows shares, sells them and buys the shares back on the public market later to return it to the lender. Short sellers are betting that a stock will decline in price. If the stock does drop after selling, the short seller buys it back at a lower price and returns it to the lender. The difference between the sell price and the buy price is the trader's profit.

A short squeeze for TerraForm Power occurs when it has a large amount of short interest and its stock increases in price. This forces short sellers to cover their short interest positions by buying actual shares of TERP, which in turn drives the price of the stock up even further.

Short interest is typically published by a stock exchange once per month. However, NASDAQ publishes a report for U.S. stocks, including TERP, twice per month. The most recent reporting period available is July, 15 2020.