Michael Burry, of The Big Short fame, remains one of the most influential investors, with his market picks consistently attracting attention, especially given his prediction of the 2008 financial crisis.
Since securing about $100 million for himself and another $700 million for his clients during the crisis, Burry, the head of Scion Asset Management, has seen his portfolio evolve.
Notably, some of his recent bets have focused on Chinese technology giants, which earned him notable returns in late 2023 amid government stimulus initiatives.
Picks for you
Regarding his outlook for the stock market, one of Burry’s most intriguing projections came on January 31, 2024, when he shared a cryptic post on X that simply read, “Sell.”
The message carried significant weight, given Burry’s track record of accurately forecasting market shifts. For many, it seemed like a signal to exit the market as uncertainty loomed. Yet, two years later, the S&P 500 has surged more than 40%.
Burry later admitted that he was wrong to issue such a call, but how have the stocks in his portfolio performed since that post?
Micheal Burry’s portfolio performance
To this end, Finbold analyzed the potential returns of a $1,000 investment in several of Burry’s favored stocks.
Alibaba (NYSE: BABA), the Chinese e-commerce giant, has declined since the post. At the time, it was trading at $110.20, but by January 2025, it had dropped to $98.84, marking a loss of 10.3%. A $200 investment in BABA would now be worth approximately $179.49.
Similarly, JD.com (NASDAQ: JD), another major Chinese e-commerce player, also faced a steep decline. The stock, valued at $57.01 when Burry advised “sell,” had fallen to $40.72 by January 2025, a 28.3% drop, although the equity is considered a bargain based on its current valuation. Therefore, a $200 investment in JD would now be worth around $143.44.
Shift4 Payments (NYSE: FOUR), a payment processing technology company, performed significantly better. Starting at $64.04 in January 2023, the equity surged to $119.85 by January 2025, delivering an impressive 87.4% return. A $200 investment in Shift4 Payments would now be worth about $374.80.
Molina Healthcare (NYSE: MOH), a provider of healthcare services, showed relative stability. The stock, priced at $310.41 on January 31, 2023, increased slightly to $311.83 by January 2025, offering a modest gain of 0.5%. A $200 investment in Molina Healthcare would now be worth approximately $201.00.
Elsewhere, RealReal (NASDAQ: REAL), an online luxury consignment platform, was the standout performer. The stock, valued at just $1.83 in January 2023, skyrocketed to $9.54 by January 2025, delivering a return of 421.3%. A $200 investment in RealReal would now be worth about $1,054.60.
Total Micheal Burry portfolio returns
In total, had you invested $1,000 evenly across these five stocks, your portfolio would now be worth approximately $1,953.33. This reflects a gain of 95.3% from the original investment.
Much of this return is attributed to the dramatic rise of RealReal, which more than made up for the losses in Alibaba and JD.com.
RealReal’s performance underscores the unpredictable nature of investing in individual stocks. While some companies face steep declines, others can deliver substantial gains that can change the outlook of an entire portfolio. However, considering the real ability to offset losses by other stocks, it points to the importance of diversifying a portfolio.
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