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'Big Short' investor Michael Burry discloses new bets on Bristol-Myers Squibb and General Dynamics — and reveals he sold CVS Health and Lockheed Martin

Feb 15, 2022, 00:22 IST
Business Insider
Michael Burry.Jim Spellman/Getty Images
  • "The Big Short" investor Michael Burry revamped his stock portfolio last quarter.
  • The Scion Asset Management boss swapped out four of his six holdings.
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"The Big Short" investor Michael Burry overhauled his stock portfolio once again in the fourth quarter of 2021, a Securities and Exchange Commission filing revealed on Monday.

Burry's Scion Asset Management swapped out four of its six holdings last quarter. It sold its stakes in CVS Health, Lockheed Martin, Now, and Scynexis. Meanwhile, it established new positions in Aea-Bridges Impact, Bristol-Myers Squibb, Fidelity National Financial, and General Dynamics.

The hedge fund also boosted its Corecivic holdings by 35%, and cut its Geo Group position by 27%. Scion's largest positions at the end of December were a $19 million stake in Bristol-Myers Squibb, and roughly $17 million positions in Fidelity National Financial and General Dynamics. The overall value of its portfolio surged by 79% to $74 million, suggesting Burry may have grown more bullish on US stocks last quarter.

Burry is best known for his massive bet against the US housing bubble in the mid-2000s, which was chronicled in the book and the movie "The Big Short." The contrarian investor also laid the groundwork for the GameStop short-squeeze in January last year when he invested in the video-game retailer in 2019.

Scion dumped most of its US stocks in the third quarter of 2021. It slashed its number of holdings from around 20 to only six, reducing its portfolio's total value (excluding options) from nearly $140 million to $42 million.

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Burry took a knife to his portfolio after issuing multiple warnings about a historic bubble in asset prices, predicting a catastrophic market crash, and ringing the inflation alarm. He had placed bets against Elon Musk's Tesla and Cathie Wood's flagship Ark Innovation ETF, but removed his put options in the third quarter of 2021.

Read more: The creator of a Michael Burry subreddit explains why 'The Big Short' investor's selling spree is a huge red flag and lays out why it's a major endorsement for the few stocks he has left

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