Michael Burley is in the news for two reasons. The first is that he revealed his Q1 2024 portfolio, indicating that Burry is swimming against the tide once again (more on this later). Secondly, Roaring Kitty The meme stock boys on Reddit and Twitter are talking about GameStop Inc. (NYSE: GME) long before GameStop Inc. (NYSE: GME) became famous during 2021’s historic meme stock rally and short squeeze episode. I remember being the first prominent investor to start putting money into GME). Michael Burry purchased a position in GameStop Corp (NYSE: GME) in the fourth quarter of 2018 for $6.8 million. Over the next few quarters, he bought and sold his shares following the classic Bally strategy, before liquidating all of his shares in the company in the third quarter of 2020.
Barry shot to fame for accurately predicting the U.S. housing collapse in 2008, but in recent years his persistent warnings about recession and market crashes have proven false. After betting on the broader semiconductor industry, Barry exited his short position in the iShares Semiconductor ETF (SOXX) in the final quarter of 2023. We also eliminated bets on the S&P 500 and Nasdaq 100 in the third quarter of 2023.
Filings for the first quarter of 2024 show that Barry was busy buying a lot of new stock and selling some. This article highlights some of the key stocks that make up approximately 42% of Bally’s Q1 portfolio, worth approximately $103 million as of the end of March 2024.
Click to see more important stocks in Burry’s portfolio. 8 stocks in which Michael Barry invested 50% of his portfolio.
Michael Varley of Scion Asset Management
Sprott Physical Gold Trust (NYSE:PHYS)
Michael Varley’s 2024 Q1 stakes: $7,624,612
Burry Portfolio Percentage: 7.36%
Michael Burley added to his exposure to gold in the first quarter with a hefty $7.62 million investment in Sprott Physical Gold Trust (NYSE:PHYS), which invests in physical gold bullion. Sprott Physical Gold Trust (NYSE:PHYS) is up about 16% since the beginning of the year. This puts Goldberry in his fifth place as of the first quarter. This accounts for about 7.36% of his total portfolio.
Citigroup Inc. (NYSE:C)
Michael Varley’s 2024 Q1 stakes: $7,905,000
Burry Portfolio Percentage: 7.63%
Scion Asset Management increased its stake in Citigroup (NYSE:C) by 25% in the first quarter of 2023, ending the period with 125,000 shares of the bank’s stock valued at approximately $7.9 million. Citigroup (NYSE:C) accounts for approximately 7.65 of Scion’s total Q1 portfolio. Michael Varley opened a position in Citigroup, Inc. (NYSE:C) in Q4 2023 and purchased 100,000 shares of Citigroup, Inc. (NYSE:C). The investment has benefited Berry, with Citigroup (NYSE:C) stock up 23% through May 16 of this year.
Patient Capital Opportunity Equity Strategy says this about Citigroup (NYSE:C) in its Q1 2024 investor letter:
“Citigroup Inc.” (NYSE:C) rose 24.1% in the quarter, continuing its upward trend from the fourth quarter. The company is undertaking a multi-year effort to restructure its business and achieve a return on tangible common capital of 11-12% by 2026 (and even higher beyond that). Citigroup is finally taking the tough steps necessary to cut unprofitable divisions, eliminate middle management and reduce overall headcount. As of early March, the company was 70% complete with its exit from the business, and its management layer had been cut by a quarter. We are confident that Citi will achieve its goals. Meanwhile, the company has been returning cash to shareholders, which could increase significantly if Basel III capital proposals change. ”
HCA Healthcare Corporation (NYSE:HCA)
Michael Varley’s 2024 Q1 stakes: $8,338,250
Burry’s share of portfolio: 8.05%
Medical facility provider HCA Healthcare, Inc. (NYSE:HCA) is one of Michael Barry’s top picks for 2024. After a long hiatus, Berry purchased HCA Healthcare (NYSE:HCA) stock in the final quarter of 2023 (Berry acquired all of HCA Healthcare (NYSE:HCA) in 2016) sold). He increased his stake in HCA Healthcare, Inc. (NYSE:HCA) by 25% during the first quarter, ending the quarter with shares of $8.34 million.
HCA Healthcare Inc. (NYSE:HCA) stock has increased about 18% over the past year. The stock represents about 8% of Michael Burley’s total Q1 portfolio.
Oakmark Equity and Income Fund said the following about HCA Healthcare, Inc. (NYSE:HCA) in its Q1 2024 investor letter:
“We eliminated one position, HCA Healthcare Co., Ltd. (NYSE:HCA) during the quarter, as the stock traded at the company’s estimated fair value. HCA has been a great investment and has more than quadrupled from his original investment price in 2016. We believe HCA is a well-managed business with the best assets in the hospital space. Hospital stocks tend to be much more volatile than their actual intrinsic value, and we would happily buy HCA again if the discount to value was justified. ”
Alibaba Group Holding Limited (NYSE:BABA)
Michael Varley’s 2024 Q1 stakes: $9,045,000
Burry Portfolio Percentage: 8.74%
Alibaba Group Holding Limited (NYSE:BABA) is one of Michael Barry’s top picks for 2024. He has increased his holdings in the Chinese e-commerce giant since the third quarter of 2023, when he bought 50,000 shares of Alibaba Group Holding. Limited (NYSE:BABA). In the fourth quarter, Mr. Berry added to a position in Alibaba Group Holding Limited (NYSE:BABA), ending the year with 75,000 shares of Alibaba Group Holding Limited (NYSE:BABA). In the March quarter, Barry again added to stocks, increasing his position in Alibaba Group Holding Limited (NYSE:BABA) by 67%.
Alibaba Group Holding Limited (NYSE:BABA) stock has increased about 8% since the beginning of the year. Baird recently said he sees “early momentum” in Alibaba Group Holding Ltd. (NYSE:BABA) as the company focuses more on customer and cloud growth. said.
Artisan Select Equity Fund stated the following regarding Alibaba Group Holding Limited (NYSE:BABA) in its Q4 2023 Investor Letter:
“Nearly all of our holdings rose during the quarter. Only one stock fell more than a few percentage points.Alibaba Group Holding Limited (NYSE:BABA), down 9% for the quarter and 12% for the year. This investment continues to be disappointing. We estimate that our stock trades at approximately five times EBITA, a valuation typically given to companies whose profits are evaporating. While it’s true that Alibaba is underperforming its peers in the market, it’s still the market leader in its core business, and the business is still growing. In the most recent quarter, sales increased by 9% and profits by 26%. That growth hasn’t evaporated.
Management appears to be making meaningful changes aimed at increasing shareholder value, including structural changes to improve profitability and restore competitiveness. Monetizing non-core assets and improving capital allocation. There’s a lot of good going on with stock prices that we haven’t recognized yet. There are mainly geopolitical reasons for this, but at its current valuation it’s easy to see the stock doubling and still be cheap. ”
JD.Com Inc (NASDAQ:JD)
Michael Varley’s 2024 Q1 stakes: $9,860,400
Burry Portfolio Percentage: 9.52%
At a time when everyone in America is fleeing Chinese stocks (including Warren Buffett) due to geopolitical uncertainty and new U.S. government tariffs, Barry is buying into China’s biggest stocks. , has established himself as a contrarian investor and a true maverick. Scion Asset Management increased its stake in the Chinese e-commerce company by 80% in the first quarter, ending the period with $9.8 million in shares. JD.Com Inc (NASDAQ:JD) stock has increased about 23% year-to-date through May 16.
These were just five stocks in Burry’s portfolio.
Click to keep reading to see the other 8 stocks in which Michael Barry invests 50% of his portfolio.
Disclosure: None
