Tesla shares rose more than 5% in the day after a Morgan Stanley note suggested the electric vehicle maker’s Dojo supercomputer could bolster Tesla’s market value.
A short bet expects a drop in the stock price.
Hazeltree, which tracks 12,000 stocks worldwide, said the second and third most shorted stocks last month were Charter Communications and Apple, respectively.
Tesla, Charter Communications and Apple did not immediately respond to requests for comment.
Data collected by research firm Whale Wisdom showed a number of different strategies underlying short bets against Tesla disclosed to the Securities and Exchange Commission on June 30.
Among them were investors with funds that took long and short positions in stocks: Diamond Hill, Leuthold Funds and Forum Funds. A Blackstone fund contained the short positions of other hedge funds and investment managers.
Trades held by hedge fund AQR Capital Management and investment manager Federated Hermes aimed to avoid market risk by offsetting price rises and falls in different asset classes.