Top 10 Activist Short Calls That Paid Off Big Time In 2020 H1

Those shorting stocks during the COVID-19 pandemic have made more than $50 billion in profits. Billionaire Bill Ackman recently said that activist short sellers are far more efficient than regulators at unearthing corporate frauds, and that regulators should work with short sellers. Here we take a look at the top 10 best performing activist short calls in the first half of 2020 that paid off big time.
Shorting stocks is a challenging business, especially during an economic crisis when regulators try to restrict short selling. But a crisis also brings tons of opportunities for short sellers.
Short sellers bet that a stock is going to fall. They borrow shares of a stock and sell them, hoping that it would tumble within a specified period. When it falls, they buy from the open market at dirt cheap prices and return the borrowed shares to the lender, pocketing the difference.
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J Capital was the most successful short seller
Breakout Point has compiled the list of best activist short calls that originated in the first six months of 2020. They registered 91 new short campaigns in H1 2020, up from 84 in the same period last year. Notably, just eight short sellers accounted for 54% of the published short campaigns.
J Capital Research has been the most successful activist short seller in the first half of this year. Four of its target stocks declined 28% o