Michael Burry, the famed investor depicted in ‘Big Short,’ has long been known for his bold stock picks.
His 2024 portfolio was no exception, featuring a mix of Chinese technology giants, healthcare firms, and growth stocks. Indeed, his portfolio had diverse returns over the past year, with some stocks recording notable gains while others faced industry-specific headwinds.
Per the latest 13-F filing on November 14, 2024, Burry’s portfolio showcased his knack for unconventional picks.
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Burry’s stock portfolio returns
Chinese technology stocks like Alibaba (NYSE: BABA) and JD.com (NASDAQ: JD) were notable performers, rallying 13.42% and 27.46%, respectively. However, not all Chinese tech fared well. Baidu (NASDAQ: BIDU), another major holding, had a difficult year, plummeting 29.42%.
It’s worth noting that Chinese stocks initially rallied in October when the market surged briefly after the government announced stimulus measures to boost stocks. However, the rally quickly faded as the stimulus fell short of investor expectations.
Healthcare stocks, traditionally a defensive sector, proved challenging for Burry’s portfolio. Molina Healthcare (NYSE: MOH) struggled with a 21.66% loss, while Olaplex Holdings (NASDAQ: OLPX), a beauty and wellness company, plunged even further, losing 30.80%.
The brightest stars of the portfolio were in the high-growth sector. Shift4 Payments (NYSE: FOUR) soared 41.47%, while American Coastal Insurance (NASDAQ: ACIC) delivered a strong 38.62% return. Yet, the undisputed standout was The RealReal (NASDAQ: REAL), a luxury consignment company. With a jaw-dropping 454.82% rally in 2024, it was the crown jewel of Burry’s investments, dwarfing the returns of any other stock in the portfolio.
Michael Burry’s portfolio returns
For investors who admire Burry’s investment picks, allocating $1,000 to his portfolio would have produced diverse returns.
An equal $125 allocation across eight stocks resulted in a rollercoaster of outcomes, with big winners offsetting notable losses. By the end of the year, a $1,000 investment would have grown to $1,742.37, delivering a 74.24% return.
It’s worth noting that Burry’s portfolio could have achieved significantly higher returns had he not abandoned his semiconductor sector bet in 2023. Indeed, the sector was among the standout performers in 2024, led by companies like Nvidia (NASDAQ: NVDA).
In conclusion, Burry’s 2024 portfolio highlights the significance of diversification. Despite setbacks in some picks, the investor’s ability to identify growth stories delivered a solid return for investors, underscoring his status as one of Wall Street’s most dynamic and effective strategists.
Disclaimer: The featured image in this article is for illustrative purposes only and may not accurately reflect the true likeness of the individuals depicted.
