Last year saw two major and widely-discussed stock market bets made by ‘The Big Short’ investor Michael Burry – his since-abandoned wager against the semiconductor industry, and the persistent investment in the Chinese technology and e-commerce giant Alibaba (NYSE: BABA).
This year, Burry bought a string of new stocks with one of the most prominent and least controversial acquisitions coming in the form of Jeff Bezos’s own big tech firm. Amazon (NASDAQ: AMZN).
While not quite at its recently achieved new all-time high (ATH), Amazon’s stellar 2024 performance prompted Finbold to examine just how much Michael Burry makes on his $4 million e-commerce bet.
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How much did Burry make on Amazon?
Given that the value provided in the latest 13-f filing for Burry’s Scion Asset Management only reveals the number of shares held and their value on the last day of 2023, it is rather difficult to make a precise estimate of the famous investor’s gains.
Still, Amazon arrived in Burry’s portfolio in the final trimester of 2023 and AMZN share price in the time frame ranged roughly between $125 and $150 making $135 a reasonable assumed purchase price.
Since ‘The Big Short’ trader owns 30,000 shares of the e-commerce blue-chip, his initial investment would have – at the assumed price – amounted to approximately $4 million.
Given that Amazon’s stock rose to $186.13 by the market’s close on Friday, April 12, Burry’s investment would have grown to about $5.6 million meaning the investor is up $1.6 million on Amazon shares – a 40% increase in value.
Amazon stock price chart
Burry’s substantial returns hardly come as a surprise given that Amazon has recorded significant growth in 2024 as it solidified its position as the e-commerce giant, expanded its foothold in the entertainment industry, and solidified its position as a cloud services provider for the ongoing artificial intelligence (AI) boom.
Year-to-date (YTD), Amazon shares are 24.14% in the green, while the last 52 weeks saw an even greater 81.17% rise.
More recent performance has also been positive with AMZN finding itself 6.71% in the green on the monthly chart, but 0.43% in the red in the last full week of trading. Amazon price today stands at $187.25 after a 0.64% rise from its latest closing price of $186.13.
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