With a recent average daily volume of 221,055 shares, it would take around two trading days for VRSN to cover. With 22,511,430 shares outstanding, as per latest 10-Q, short interest is less than 1% of shares outstanding. Regarding VRSN, this month's statistics don't tell very much.
In general, I use short interest as a barometer to see what traders, MM's and other members of the realm known as “smart money” are thinking. An example, last month LVLT had a sizeable amount of short interest relative to its average daily volume. During the next several trading days, LVLT took a hit from the low-30's to the mid-20's. It has come back recently, but it's nice play Nostradamus and see why future drops take place.
Regards,
Pat
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