Data Points To Huge Losses For TUI Shorts

TUI AG (OTC:TUIFY) surged to a high of $2.95 earlier today, nearly 60% off its prior week trading range, as the company said it plans to resume service to main holiday destinations by the end of June. The news came after the German-based travel firm announced it would cut up to 8,000 jobs to cope with financial difficulties as a result of the COVID-19 coronavirus.

CEO Fritz Joussen said TUI plans to start flying just in time for summer vacation.

“We want to resume flight traffic to Mallorca from mid-to-end June. Austria, Greece, Cyprus, Croatia, Bulgaria are also well-prepared,” Joussen said.

In a statement to Benzinga, ORTEX Analytics co-founder Peter Hillerberg said “ORTEX Analytics data shows that there has been a rapid increase in short positions in TUI since the beginning of March and most short position holders were still increasing their positions. The massive price increase in TUI today is causing huge losses for short-sellers who now have to buy back the shares at a much higher price to close their short position, which in itself can cause the price to go up further.”

To access more ORTEX Analytics data, click here.

Photo courtesy of ORTEX Analytics.

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