Michael Burry’s Scion Capital Management dumped his entire stock portfolio within the second quarter because the “Big Short” hedge fund legend stepped up his warnings a few looming stock market crash, a filing showed on Monday.
Scion sold off its long positions on 11 firms throughout the second quarter, including bullish bets on Google parent Alphabet, Facebook parent Meta, Bristol-Meyers Squibb and Nexstar Media Group, in keeping with the company’s latest 13-F filing.
The holdings were cumulatively value $165 million at the tip of the primary quarter.
Burry’s firm ended the second quarter with only one stock holding. Scion added 501,360 shares of Geo Group, a Florida-based company that invests in and operates private prisons, that were value $3.3 million. Geo Group’s stock jumped about 12% in trading Monday.
Michael Burry has greater than 1 million Twitter followers.WireImage
The Post has reached out to Scion Capital Management for comment on the filing. Burry declined Bloomberg’s request for comment.
Large hedge funds are required to reveal their holdings in publicly traded firms each quarter through 13-F filings. The filings don’t include details about short positions and are accurate as of the tip of every quarter, meaning Scion’s positions can have modified for the reason that form was submitted at the tip of June.
Burry’s firm sold off a stake in Facebook parent Meta.NurPhoto via Getty Images
Burry’s bet against subprime mortgages was famously chronicled within the 2015 film “The Big Short.” He has amassed greater than 1 million followers on Twitter, where he has continuously posted dire warnings concerning the state of the worldwide economy in recent months.
Essentially the most recent warning got here last Sunday, when Burry tweeted his view that the recent rally within the tech-heavy Nasdaq exchange was more likely to be short-lived.
“Can’t shake that silly pre-Enron, pre-9/11, pre-WorldCom feeling,” Burry said within the now-deleted tweet. He continuously deletes his tweets shortly after they’re posted.
Last week, Burry cautioned of “winter coming” for the US economy on account of a surge in consumer debt that might soon hamstring spending and exacerbate a recession.
“Net consumer credit balances are rising at record rates as consumers select violence somewhat than in the reduction of on spending within the face of inflation,” Burry tweeted.
Michael Burry has repeatedly warned of a looming stock market crash.AFP via Getty Images
“Remember the savings glut problem? No more. COVID helicopter money taught people to spend again, and it’s addictive. Winter coming.”
And in July, Burry argued that a brutal market selloff that occurred on the time was “possibly halfway” over, with further drops to return as firms reported weaker earnings.