Michael Burry, who became famous thanks to the movie "Downgrade," dramatically changed the strategy of his investment firm Scion Asset Management in the second quarter, switching from buying put options to calls. He also opened long positions on securities of a number of companies, including insurance corporation UnitedHealth, whose shares were bought by legendary investor Warren Buffett. Who else did Burry bet on last quarter, and where, on the contrary, did he reduce his stakes?

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Michael Burry, who predicted the collapse of the U.S. housing market in 2008, ended the second quarter in a more bullish mood, Reuters reports. If at the end of March his fund Scion Asset Management had put options for $186 million, giving the right to sell shares at a given price and play for a fall in quotes, then three months later he already held calls, allowing, on the contrary, to play for an increase in shares, for $522 million, Business Insider calculated.

In the past quarter, Burry bought calls on the securities of Chinese online retailer Alibaba, Dutch hardware supplier ASML, Chinese e-commerce platform JD.com, cosmetics maker Estee Lauder, Canadian sportswear brand Lululemon, "Magnificent Seven" company Meta, biotech company Regeneron, insurer UnitedHealth and VF, which owns the Vans and Timberland brands, according to a report filed with the U.S. Securities and Exchange Commission (SEC).

In addition, Scion Asset Management has also opened long positions in scientific instrument maker Bruker, Lululemon, Regeneron, UnitedHealth and e-commerce platform MercadoLibre. Burry's bet on UnitedHealth is notable because Warren Buffett, one of the top gurus on Wall Street, also invested in that insurer last quarter, Business Insider notes. Meanwhile, Burry reduced his position in Estee Lauder from 200k to 150k shares.

Burry may have adjusted his equity bets in recent weeks, and the Form 13F does not reflect the full picture of his investment strategy, BI notes. Those reports only provide a snapshot of the portfolio six weeks late and do not include short positions, investments in private companies, foreign assets and non-marketable instruments such as bonds and real estate, the publication explained.

This article was AI-translated and verified by a human editor

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