Monro, Inc. (MNRO): The Underdog Stock in Short Sellers' Crosshairs - NEW BOX OFFICE TO DAY

We recently published a list of 20 Underperforming Stocks Targeted By Short Sellers . In this article, we are going to take a look at where Monro, Inc. (NASDAQ:MNRO) stands against other underperforming stocks targeted by short sellers.

Short interest refers to the percentage of publicly available shares that have been sold short. It is an indicator used by many investors to determine how strong a company’s bear thesis may be. Due to the nature of short selling, the short interest has become a popular indicator among investors.

It garners significant attention because those who bet against a stock often conduct thorough investigations and firmly believe in the company's potential collapse. Since these individuals face potentially limitless losses, major players or savvy investors selling stocks short attract considerable focus. People then attempt to identify the warning signs that might have led to such elevated levels of short interest.

We opted to delve deeper and uncover where smart investors anticipate potential issues down the line. For compiling our roster of 20 underwhelming stocks attracting attention from short sellers, we examined the poorest-performing equities over the past half-year before ranking them based on their level of short interest.

A vehicle in a repair stall is being examined by a mechanic as part of regular upkeep.

Monro, Inc. (NASDAQ:MNRO)

Short interest: 16.24%

6 months’ performance: -47.88%

Monro, Inc. (NASDAQ:MNRO) manages auto repair centers and retails tire shops across the United States. This firm delivers undercar repair solutions, sells replacement tires along with related services, as well as conducts regular upkeep operations for vehicles such as light trucks, minivans, and sedans.

Monro, Inc. (NASDAQ:MNRO) failed to meet the expected revenue for its latest quarter, experiencing a year-over-year decrease of 3.74%. The comparable sales dropped by 0.8%, though this represents an improvement of 500 basis points from the prior quarter. Increased material costs and greater promotional spending led to declines in both operating and gross margins. In summary, the company had a challenging end to the period.

Macroeconomic issues along with suggested taxes on imported cars persistently hinder the stock's performance. These tariff complexities might cause an increase in vehicle and component costs, which could impact their sales and earnings.

Overall, MNRO ranks 11th On our roster of underwhelming stocks attracting bearish attention, we recognize the appeal of MNRO as a possible venture. However, we firmly believe that certain artificial intelligence equities present stronger prospects for generating superior yields and achieving them sooner. An AI equity has surged since early 2025, whereas many leading AI shares have dipped roughly 25% during the same period. Should you seek an AI stock with better growth potential compared to MNRO yet trading below five times its earnings, explore our detailed analysis on this subject. cheapest AI stock .

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Disclosure: None. This piece was initially published at Insider Monkey .