Investors Are Betting Big Against Fitbit Inc. — Are They Right?

But investors seem to think that the stock could continue falling — over 30% of its outstanding shares were still being shorted as of Dec. 27. Let’s take a closer look at Fitbit’s headwinds and tailwinds to see if those bearish bets are justified. The bears believe that since fitness trackers are cheap to manufacture, Fitbit’s core market will be commoditized and its brand will lose its premium appeal.