Markets

Trump Victory Adds $1.3 Billion Gain to Renewables Short Bets

The drop since Monday’s close on a European basket of renewable stocks represents a paper gain of $440 million for short sellers, according to Bloomberg calculations.

This week’s selloff in renewable energy stocks following Donald Trump’s election victory has been a boon for short sellers betting against clean energy.

The biggest renewables stocks fell sharply following the Republican Party’s resounding election win. The plunge represents a paper gain of $1.3 billion for short sellers, according to Bloomberg calculations based on shares out on loan for a global basket of clean energy companies.

Plug Power Inc., SolarEdge Technologies Inc., Bloom Energy Corp., First Solar Inc. and Enphase Energy Inc. are among the most shorted renewables stocks, according to the latest data from S&P Global Market Intelligence, with more than 5% of their market capitalization out on loan. US solar is one of the sectors with the biggest short positions across the market.

In Europe, Solaria Energia y Medio Ambiente SA, Nordex SE and Orsted A/S are among the most shorted renewable energy stocks, the data show.

The drop since Monday’s close on a European basket of renewable stocks represents a paper gain of $440 million for short sellers, according to Bloomberg calculations.

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