SFHG shorts evaporate as borrow conditions ease sharply

Samfine Creation Holdings Group Limited heads into mid-May with one of the more striking positioning reversals seen among small-cap Nasdaq names this week — short interest has collapsed by more than 93% in five trading sessions, leaving the borrow market at its loosest in months.

The headline story this week is the near-total unwind of short positions. SI dropped from roughly 4,250 shares at the start of last week to just 233 shares by May 12 — a 94% reduction in five sessions. That brings SI as a percentage of free float to a negligible 0.019%, well below even the already-modest levels held through most of April. The ORTEX short score has followed the same trajectory, easing from around 34 in late April to 28.7 now, its lowest reading in the available history. For a stock with a free float of just 1.2 million shares and a market cap below $6 million, these are tiny absolute numbers — but the directional move is unambiguous.

Borrow conditions reflect the same trend. Availability is running at over 2,500% of current short interest — the lending pool is effectively empty of demand. Cost to borrow has drifted down from above 5% in early April to around 3.77%, a 15% decline on the week. The 52-week utilization peak was 98.66%, recorded when the stock attracted far more short attention; today's reading of just 3.94% shows how completely that pressure has dissipated. There is no squeeze dynamic in the current setup — and no obvious catalyst building one.

The ownership picture provides important context. Wing Wah Cheng holds approximately 70% of shares outstanding as of mid-March, leaving the tradeable float extremely thin. Institutional presence is minimal — Citadel Advisors, XTX Markets and Two Sigma collectively hold fewer than 15,000 shares, all of it apparent market-making flow. The concentrated ownership structure means even modest shifts in order flow can move the headline short-interest figure dramatically, which helps explain the outsized percentage swings in the weekly data.

On the earnings history front, reactions to recent prints have been muted. The May 1 release produced a 2.3% one-day decline. The October 2025 print was more damaging, with a 5-day move of nearly negative 19%. The March 2026 event was flat on the day before recovering 4.4% over the following week. No next earnings date is currently scheduled.

With short interest now near zero and borrow availability at multi-month highs, the setup to watch is whether any fresh negative catalyst prompts shorts to rebuild — or whether the thin float and concentrated ownership continue to keep bear positioning structurally difficult.