U.S. stocks extend fall, Nasdaq down 3.00%

U.S. stocks extend fall, Nasdaq down 3.00%

U.S. stocks continued their downward trend on September 12, 2025, with the Nasdaq index falling by 3.00%. This decline follows a series of market volatility and uncertainty, particularly in the tech sector. Nasdaq Inc (NYSE:NDAQ), a key component of the Nasdaq index, has seen its short interest decrease by 5.19% since the last report, according to exchange data. Currently, 5.81 million shares are sold short, representing 1.28% of all regular shares available for trading .

Short interest, which is the number of shares sold short but not yet covered or closed out, is an important indicator of market sentiment. A decrease in short interest can signal that investors have become more bullish, although it does not necessarily predict immediate price movements. For Nasdaq Inc, this decrease in short interest is notable, as it is below the peer group average of 5.05% .

Over the past five years, Nasdaq Inc's share price has seen an impressive 110% increase, outpacing its earnings per share (EPS) growth of 10% annually. This suggests that market participants hold the company in higher regard, despite the recent market volatility. Furthermore, the company has rewarded shareholders with a total shareholder return (TSR) of 125% over the last five years, largely driven by dividend payments .

While Nasdaq Inc's performance has been strong, it is essential to consider other factors that could impact its share price. For instance, insider buying and selling activity, as well as earnings and revenue growth trends, should be closely monitored. Additionally, the company has faced two warning signs in the past year, which investors should be aware of .

In conclusion, while the Nasdaq index experienced a significant drop on September 12, 2025, Nasdaq Inc's fundamentals and market sentiment indicators suggest a potential for recovery. Investors should continue to monitor the company's performance and the broader market conditions to make informed decisions.