The Ultimate Investment Manager's Guide: Michael Burry Increases Stake in Alibaba Group Holdings, Shifts Portfolio Strategy
In a bold move reminiscent of his legendary bet against the US housing market in 2008, hedge fund manager Michael Burry has doubled down on his investment in Alibaba Group Holdings Ltd ADR (NYSE:). His firm, Scion Asset Management, reported a $11.2 million position in Alibaba for the second quarter, up from $9 million in the first quarter.
But that's not all - Burry has also made significant changes to his overall equity portfolio, cutting it in half during the same period. Shift4 Payments Inc (NYSE:) has emerged as the firm's second-largest holding, with a net value of $7.3 million after Scion purchased 100,000 shares.
Scion has also diversified its portfolio across various industries, including financial services, healthcare, and commercial real estate. New positions in Shift4 Payments, Molina Healthcare Inc (NYSE:), and Hudson Pacific Properties Inc (NYSE:) are each valued at over $5.5 million. The firm has also added stakes in Olaplex Holdings Inc (NASDAQ:) and Bioatla Inc (NASDAQ:).
On the flip side, Scion has exited positions in HCA Holdings Inc (NYSE:), Citigroup Inc (NYSE:), Block Inc (NYSE:), Cigna Corp (NYSE:), and Advance Auto Parts Inc (NYSE:), while reducing its holdings in JD.com Inc (NASDAQ:) and luxury reseller TheRealReal Inc (NASDAQ:).
Overall, Scion now holds positions in 10 stocks with a total value exceeding $52 million, a decrease of nearly 50% from the previous quarter.
In conclusion, Michael Burry's strategic moves in the second quarter have shaken up his portfolio significantly. By increasing his stake in Alibaba and diversifying across different industries, Burry is positioning himself for potential growth and stability in the ever-changing financial markets. Investors should take note of these changes and consider how they may impact their own investment strategies.