PAYO Options Bulls Clash with Rising Short Positions

Why this matters: Payoneer stock jumped 24% yesterday. Yet short sellers added positions the same day. Options traders, meanwhile, are the most bullish they've been all year. Three signals pulling in opposite directions — here's what the data shows.

Options Market Goes Extreme

The put-call ratio collapsed to 0.24 on June 9. That's 2.0 standard deviations below the 20-day mean of 0.55. The 52-week low sits at 0.04 — so there's room to go further — but this level already marks the most bullish options positioning Payoneer has seen in months.

The shift has been rapid. In late April, the PCR sat above 0.77. By early June it was near 0.39. Yesterday it fell to 0.24. Call buyers are driving that move, not put sellers stepping away.

Short Sellers Add Into the Rally

Short interest jumped 20.1% in a single day to 3.28% of free float — roughly 11.7 million shares. That's the highest level in recent weeks.

At 3.28% of float, this isn't extreme by historical standards. But the timing is notable. Shorts added on a +24% day, not before it. That suggests conviction on the bearish side too, not just momentum-chasing.

The lending market offers no constraint. Availability sits at 4,543% of short interest — meaning for every share currently borrowed, there are 45 more available. Borrowing costs have also fallen sharply. Cost to borrow dropped 81% over the past week to just 0.10%. Opening a short position is cheap and easy right now.

EPS Momentum the Standout Factor

With the stock now trading near the mean analyst price target of $7.85, it's worth noting what underpins the bull case in the fundamentals.

EPS momentum scores are in the 95th percentile over both 30-day and 90-day windows. EPS surprise also sits at the 95th percentile. Forward earnings estimates have been moving higher. That's a strong fundamental backdrop — and likely part of what's drawing call buyers.

The bear case centres on Amazon platform dependency and e-commerce volume uncertainty. Analysts at B of A initiated coverage in March with a Buy and a $6.00 target — Payoneer has now traded through that.

Data Summary

• Price: $6.39 (+24.3% on June 9; +19.4% on the week)
• SI % of Free Float: 3.28%, up 20.1% in one day
• Put-Call Ratio: 0.24 — 2.0 standard deviations below 20-day mean
• Availability: 4,543% — extremely loose borrow market
• Cost to Borrow: 0.10% — down 81% week-on-week
• EPS Momentum (30d/90d): 95th / 86th percentile
• Analyst Consensus Target: $7.85
• Next Earnings: August 6

Watch: Whether short interest continues to build through the week — or the rally forces covers that compound the move.