Major lifestyle brands top Hazeltree’s most crowded shorts for May

By Admin

07 Jun, 2025

The winds of caution are picking up speed across global markets as the specter of a potential recession looms larger. Reflecting this shift, short sellers have ramped up their positions, with lifestyle brands emerging as top targets, according to Hazeltree’s latest Shortside Crowdedness Report for May.

Lifestyle Sector in the Crosshairs

As global consumer spending faces increasing pressure, major lifestyle brands across entertainment, fashion, electronics, and travel have surged to the top of the short-selling radar. “We witnessed an extension of consumer spending taking root across the globe, as major lifestyle brands shot to the top of Hazeltree’s most crowded shorts,” said Tim Smith, Managing Director of Data Insights at Hazeltree. The shift signals investor skepticism toward the resilience of discretionary spending in the face of tightening economic conditions.

Tech Stocks Regain Attention in the Americas

In the Americas, large-cap stocks saw a notable pivot back toward the tech sector, with five tech-related names featuring in the top 10 crowded shorts a jump from four in April. However, lifestyle-centric companies still dominated the spotlight, with Live Nation Entertainment and Chevron Corporation topping the large-cap list.

Sector Leaders by Capitalization

• Large-Cap (Americas): Live Nation Entertainment and Chevron Corporation led the pack.
  
  

• Mid-Cap (Americas): Albemarle Corporation claimed the top spot for the second time this year.
  
  

• Small-Cap (Americas): Kohl’s Corporation emerged as the most crowded short.
  
  

In EMEA, luxury giants Kering and LVMH continued to attract heavy short interest, underscoring the sector’s perceived vulnerability in a slowing global economy. The mid-cap category was led by Davide Campari-Milano, while the small-cap segment saw a five-way tie among WH Smith, SSP Group, CVS Group, Senior, and Basic-Fit.

APAC Trends and Repeating Names

In the APAC region, Fujikura ascended as the most crowded large-cap short. Mercari reappeared in the mid-cap group, accompanied by Ibiden Co. and WuXi AppTec Co.. Small-cap activity also tightened with a tie between Tokai Carbon Co. and Ganfeng Lithium Group Co.

The Hazeltree Crowdedness Metric

All findings stem from Hazeltree’s proprietary Crowdedness Score, which ranges from 1 to 99. This score reflects both demand and supply dynamics, offering asset managers a clearer view of which securities are under the heaviest scrutiny. The data is aggregated and anonymized from a broad sample of approximately 700 global asset management funds, providing a comprehensive view of short-selling behavior.

As macroeconomic uncertainty persists, investor sentiment continues to shift toward cautious positioning   with lifestyle brands now bearing the brunt of short interest across regions.