days to cover

Short Interest Ratio

In technical analysis and fundamental analysis, a ratio of the short-sold shares of a publicly traded company to the trading volume over a given period of time. This is an indication of the market's sentiment regarding a particular stock. A higher ratio indicates a feeling that the stock will decline in value, while a lower ratio indicates general belief that it will rise. It is not an exact indication, as it fails to take into account matters such as the potential exercise of convertible shares. Fundamental analysts interpret a high ratio as bearish because it shows an expectation for lower prices; on the other hand, technical analysts see a middling ratio as bullish as it may indicate a demand for a stock among hedge funds unable to cover a short sale. The short interest ratio is also called days to cover. See also: Hedge fund.

days to cover

References in periodicals archive ?
6 days to cover, indicating that there is still ample sideline money available to fuel gains in the shares.
8 days to cover, offering little hope of a short-covering rally boosting the shares through their 20-week trendline.
Currently, about nine percent of ELNK's float is sold short, for a short-interest ratio of 11 days to cover.
Our latest data reveals that nearly 13 percent of the equity's float has been sold short, amounting to a short-interest ratio of six days to cover.
But while short interest for HLT jumped 27 percent during December, it would still take less than two days to cover the 6.
5 days to cover the shorted TGT shares, so we shouldn't rely on a short-covering rally to push the shares higher.
Meanwhile, short sellers decreased their positions by more than 15 percent during December, leaving less than two days to cover the 3.
However, there is little fuel in the way of short-covering support, as it would take a mere three days to cover the 35 million TYC shares sold short.
While it would still take more than four days to cover this pile of bearish positions, I feel that this may not be enough to boost PBG though the 30 level, as today's news apparently wasn't enough of a spark.
As a result, it would take less than two days to cover these pessimistic bets.