Jan. 6 (Bloomberg) -- Short sales of Vestas Wind Systems A/S rose to a record after the world’s biggest wind turbine maker cut its revenue forecast for the second time in three months.
Short positions in Vestas rose to 17.8 percent as of Jan. 4, the most in more than five years, according to figures on Bloomberg compiled by Data Explorers Inc. Short sellers borrow stocks and sell them in the anticipation of profiting by repurchasing the securities later at a lower price.
The company, based in Aarhus, Denmark, on Jan. 3 pared its revenue forecast for 2011 by 400 million euros to 6 billion euros, after slashing 600 million euros from an earlier forecast of 7 billion euros on Oct. 30. Orders for 2011 will total 7.4 gigawatts, meeting the turbine maker’s forecasts.
The short-selling data series goes back to July 2006. The Jan. 4 record follows the previous high of 17.3 percent on Dec. 27. Vestas today rose 3.9 percent to 57.15 kroner ($9.84) as of 10:30 a.m. in Copenhagen after losing more than a fifth of its value in two days.
--Editors: Reed Landberg, Stephen Cunningham
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