Investors betting against US neocloud and data center companies have raked in $6 billion in paper profits so far this month, after fears their debt-fueled AI buildout was becoming unsustainable sparked a selloff.
\n\nShort interest in CoreWeave, IREN, Nebius Group, Applied Digital and Core Scientific ranged from about 20% to 26% of their free float, according to data analytics firm ORTEX.
\n\nCurrent short interest in CoreWeave stands at 23.7% of its free float, up from 19.6% at the start of the month, but slightly higher than the 22.7% seen at the beginning of 2026.
\n\nShort sellers have made close to $1.7 billion in paper profits from CoreWeave trades so far this month, after the company’s shares slumped almost 30%.
\n\nAlso read: Meta’s $825 billion future commitments put AI spending returns in focus
\n\nShort interest on Nebius has climbed to 20% of free float, from 15.4% at the start of 2026.
\n\nInvestors betting against Nebius have raked in $2.94 billion in paper profits so far in October, though they have recorded a paper loss of $3.33 billion year-to-date.
\n\nShort sellers of data center operators IREN and Applied Digital have recorded combined paper profits of more than $1.2 billion so far this…
Original source: https://www.cnbctv18.com/technology/
