“Big Short” Investor Michael Burry is Betting Big on Gold and Renewable Energy Stocks and is Exiting Amazon and Alphabet - Latest Global News

“Big Short” Investor Michael Burry is Betting Big on Gold and Renewable Energy Stocks and is Exiting Amazon and Alphabet

“Big Short” investor Michael Burry is betting big on gold and renewable energy stocks and is exiting Amazon and Alphabet

Michael BurryThe legendary investor who predicted the 2008 financial crisis has made headlines again with his latest 13F filing for his hedge fund Scion Asset Management LLC.

The first quarter of 2024 shows a strategic reorientation towards physical raw materials and renewable energy, while Burry turned away from some technology giants.

The total market value of Scion’s 13F securities increased from $94.6 million to $103.49 million. The fund’s activities included five new purchases, additions to 11 existing positions and outright sales of 14 stocks.

Top 5 Buys: A golden bet on gold and clean energy

Burry’s top buys for the first quarter of 2024 show a clear trend towards physical precious metals and clean energy, underlining his expectation of rising values ​​in these sectors.

At the top is the Sprott Physical Gold Trust ETV (NYSE:PHYS), with Scion increasing its position by $7.62 million, representing a 7.37% change in the portfolio. This significant investment underscores Burry’s confidence in gold as a hedge against economic uncertainty. The gold fund mentioned above has returned 16% year to date, outperforming the broader stock market SPDR S&P 500 ETF Trust (NYSE:SPY), which rose 12%.

The next in line is Cigna Holding Co (NYSE:CL), where Scion increased its stake by $7.26 million, representing a portfolio change of 7.02%. This move reflects Burry’s continued belief in the resilience and growth potential of the healthcare sector.

Showing confidence in the energy sector, Burry added $6.59 million BP Plc ADR (NYSE:BP), representing a portfolio change of 6.37%. With this investment, Burry recognizes BP’s strong position in the global energy market, particularly in light of BP’s transition to cleaner energy sources.

Last week, the British energy company’s electric vehicle charging unit announced plans to be acquired Tesla Inc. (NASDAQ:TSLA) is building Supercharger locations across the U.S. as part of its expansion efforts.

Burry’s commitment to renewable energy is further highlighted with a $5.06 million raise First Solar Inc. (NYSE:FSLR), representing a 4.89% change in the portfolio. This move is in line with the global shift towards sustainable energy solutions and demonstrates Burry’s foresight to capitalize on this growing trend.

Rounding out the top five purchases Baidu Inc ADR (NASDAQ:BIDU) with an increase of $4.38 million, representing a portfolio change of 4.07%. This investment underlines Burry’s confidence in the long-term potential of Chinese technology companies.

In its 13F filing for the fourth quarter of 2023, Burry increased its stakes in two major Chinese retail giants: JD.com Inc (NASDAQ:JD) and Investments of the Alibaba Group (NASDAQ:BABA).

At the end of the first quarter of 2024, Burry further increased his stake in these two giants, buying another 160,000 shares of JD.com and 50,000 shares of Alibaba.

Top 5 Portfolio Divestments: Burry Trims Tech Giants

Burry made notable divestments in several high-profile technology stocks in the first quarter.

Oracle Corp (NASDAQ:ORCL) tops the list, with Scion reducing its holdings by $5.77 million, representing a portfolio change of 5.57%.

CVS Health Corp (CVS) It follows closely, with a reduction of $5.62 million, representing a 5.43% change in the portfolio. This move could reflect concerns about possible challenges in the healthcare sector.

Nextstar Media Group (NASDAQ:NXST) came in third in terms of top volume, with Burry reducing its stake by $5.57 million (change of 5.39%).

Notably, Burry chose to completely exit his positions in two major U.S. tech giants, signaling a reassessment of their growth prospects following a strong rally.

Alphabet Inc. (NASDAQ:GOOGL) experienced a complete divestiture, with Burry selling $5.35 million worth of shares (a change of 5.17%).

Similar, Amazon.com Inc. (AMZN) experienced a full exit with a reduction of $4.99 million, representing a portfolio change of 4.82%. The move underscores Burry’s cautious stance on the future performance of one of the world’s largest e-commerce platforms.

Portfolio summary

The five largest holdings by weight in Scion Asset Management LLC’s portfolio through the end of the first quarter of 2024 are:

  1. JD.com Inc: 9.53%.

  2. Alibaba Group Holding Ltd: by 8.74%.

  3. HCA Healthcare Inc (NYSE:HCA): 8.06%.

  4. Citigroup Inc (NYSE:C): 7.64%.

  5. Sprott Physical Gold Trust: 7.37%.

Now read: Warren Buffett’s Berkshire Confirms Apple Sale, Sells This PC Maker, Finally Reveals Mystery Stocks: Here Are the Portfolio Changes You Should Know

Image created with artificial intelligence via Midjourney.

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This article ‘Big Short’ Investor Michael Burry Bets Big on Gold, Renewable Energy Stocks, Exits Amazon and Alphabet originally appeared on Benzinga.com

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