Michael Burry’s long-standing bet on the Chinese technology and e-commerce giant Alibaba (NYSE: BABA) has been a topic of contention ever since the initial purchase was disclosed in the fourth quarter (Q2) of 2022.
The debate can be traced back to two main factors: the size of the BABA stock holding and the shares’ volatile and often underwhelming performance.
In the latest available 13-f filing, Burry’s Alibaba stock investment was reported as worth more than $21 million, while the total value of ‘The Big Short’ investor’s stake in Chinese companies was as high as $54 million.
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At the time, the legendary trader also disclosed substantial hedges on these long positions through put options.
Is Michael Burry ‘in the green’ on his massive BABA stock bet
By press time on February 4, it isn’t clear if Burry retains his investment in Alibaba shares as the last available complete figures are more than 4 months old. What is obvious, however, is that the stake – at least on a per-share basis – has somewhat lost in value.
Indeed, on the final day of Q3 2024, the Chinese market was on the ascendance as Western traders were elated by the mix of news and rumors about what the People’s Republic might do to stimulate its ailing equities.
Still, following a 16.08% rise in 2025 to the latest closing price of $98.61 and the pre-market value of $100.69, it is likely that Burry is significantly in the green on the majority of his stake.
During Q3, 2023 – the time to which the current position can trace its roots – BABA shares were roughly in the range between $84 and $102. Through the entire remainder of the purchasing period – which ended on September 30, 2024 – Alibaba stock was generally between $68 and $106, though it spent the bulk of the time under $85.
Such a setup means that unless ‘The Big Short’ trader timed his purchases exceptionally poorly, he is, at BABA stock’s press time price, approximately 20% in the green on his entire stake.
Why Alibaba shares are soaring in 2025
There have been multiple tailwinds for Alibaba in the last 12 months, with one of the biggest 2024 developments coming with the end of the Chinese government’s long-standing probe of the company.
The resolution proved especially positive as the company, originally accused of monopolistic tendencies and practices, ended the process praised for its efforts to foster healthy competition.
Still, the dominant narrative backing the rally in recent months came with the release of the novel artificial intelligence (AI) model DeepSeek, which primed U.S. investors into taking Chinese AI seriously and solidified with Alibaba’s Qwen 2.5, which is alleged to be superior to the already open-source version.
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