In this article we take a look at 8 stocks which account for about 50% of the Q1 portfolio of Michael Burry. To see the biggest positions of Burry in Q1’2024, click Michael Burry Has 42% of His Portfolio Invested in These 5 Stocks.
8. First Solar Inc. (NASDAQ:FSLR)
Michael Burry’s Q1’2024 Stake: $5,064,000
Percentage of Burry’s Portfolio: 4.89%
Arizona-based First Solar makes solar panels and utility-scale PV power plants. The stock is a new pick of Michael Burry, as Scion Asset Management opened a stake worth about $5 million in First Solar Inc. (NASDAQ:FSLR) in Q1. The move surprised many as the solar industry has been underperforming this year. Over the past one year, the Global X Solar ETF (NASDAQ:RAYS) is down about 41%, and 13% year to date through May 15.
7. RealReal Inc.(NASDAQ:REAL)
Michael Burry’s Q1’2024 Stake: $5,523,626
Percentage of Burry’s Portfolio: 5.33%
RealReal Inc.(NASDAQ:REAL) operates a marketplace where users buy and sell luxury goods. Michael Burry first invested in RealReal Inc.(NASDAQ:REAL)in the first quarter of 2023. In the March quarter of 2024, he increased his hold in RealReal Inc.(NASDAQ:REAL)by a whopping 116%, ending the period with a $5.5 million stake in RealReal Inc.(NASDAQ:REAL).
RealReal Inc.(NASDAQ:REAL)shares have gained about 130% year to date through May 15.
6. Star Bulk Carriers Corp (NASDAQ:SBLK)
Michael Burry’s Q1’2024 Stake: $5,967,500
Percentage of Burry’s Portfolio: 5.76%
Greek shipping company Star Bulk Carriers Corp(NASDAQ:SBLK)account for about 5.76% of Michael Burry’s total portfolio as of the end of the first quarter of 2024. Burry increased his hold in Star Bulk Carriers Corp(NASDAQ:SBLK)by 14% in the first quarter, ending the period with a $5.96 million stake. The stock has rewarded Burry this year, having gained about 27% so far through May 15. Star Bulk Carriers Corp(NASDAQ:SBLK)is also a notable dividend-paying stock with a 5.6% dividend yield.
5. Vital Energy Inc. (NYSE:VTLE)
Michael Burry’s Q1’2024 Stake: $6,567,500
Percentage of Burry’s Portfolio: 6.34%
Vital Energy Inc.(NYSE:VTLE)accounts for about 6.34% of Michael Burry’s Q1’2024 portfolio, as Scion Asset Management owns a $6.6 million stake inVital Energy Inc.(NYSE:VTLE)after increasing its hold by 43%. Scion first built its stake in Vital Energy Inc.(NYSE:VTLE) in the second quarter of 2023, only to cut it completely in the following quarter. The fund turned to the stock again in the last quarter of 2023, buying 87.5k shares. Over the past one year Vital Energy Inc.(NYSE:VTLE)shares have gained about 17%.
4. BP Plc (NYSE:BP)
Michael Burry’s Q1’2024 Stake: $6,594,000
Percentage of Burry’s Portfolio: 6.37%
Michael Burry added oil and gas giant BP Plc(NYSE:BP)to his portfolio in the first quarter of 2024, buying a stake worth about $6.6 million as of the end of March. BP Plc(NYSE:BP)accounts for about 6.4% of Scion’s portfolio. BP has a dividend yield of over 4% and an attractive PE ratio of 11.88.
BP Plc(NYSE:BP)recently reported Q1 results which weren’t pretty, mainly due to outages at its Whiting refinery in Indiana, soft fuel margins and lower oil and gas prices. BP Plc(NYSE:BP)said it would cut $2 billion in costs by the end of 2026.
3. Advance Auto Parts Inc (NYSE:AAP)
Michael Burry’s Q1’2024 Stake: $7,232,650
Percentage of Burry’s Portfolio: 6.98%
Automotive aftermarket parts provider Advance Auto Parts Inc(NYSE:AAP)is one of the top Michael Burry stocks. Advance Auto Parts Inc(NYSE:AAP)accounts for about 7% of the total Q1 portfolio of Scion Asset Management. Burry increased his fund’s position in Advance Auto Parts Inc(NYSE:AAP)by 22% in the March quarter, entering the second quarter with a stake worth about $7.2 million.
For 2024, Advance Auto Parts Inc(NYSE:AAP) expects to earn between $3.75 to $4.25 per share and rake in revenue of $11.3 billion to $11.4 billion.
Third Point Management stated the following regarding Advance Auto Parts, Inc. (NYSE:AAP) in its first quarter 2024 investor letter:
“We initiated a position inAdvance Auto Parts, Inc.(NYSE:AAP) in Q4 2023 at an attractive entry point, after the third consecutive guidance cut of the year overshadowed new CEO Shane O’Kelly’s strategic plans to course correct the business. Advance operates in the highly attractive auto aftermarket industry, which has proven resilient in various consumer cycles and is currently supported by increasing vehicle complexity, a growing and aging carpark, and supply and affordability challenges.
While Advance has significantly underperformed peers across key KPIs over the past several years, our work suggests that many of these shortcomings aren’t structural. Feedback has been consistent that while the Advance brand is strong, a lack of relevant industry experience in key roles has led to years of inconsistent execution that has snowballed over time. We are confident that a portion of the performance gap vs. peers can be closed with new leadership and advisors in place…” (Click here to read the full text)
2 Cigna Group (NYSE:CI)
Michael Burry’s Q1’2024 Stake: $7,263,800
Percentage of Burry’s Portfolio: 7.01%
Michael Burry liquidated his position in Cigna Group (NYSE:CI) (27.5k shares) in the third quarter of last year. But he came back to the stock in the first quarter of this year, buying 20,000 shares of Cigna Group (NYSE:CI). Cigna now accounts for about 7.01% of Scion Asset Management’s total portfolio as the fund’s stake is worth about $7.26 million.
Here is what Davis New York Venture Fund has to say about The Cigna Group (NYSE:CI) in its Q3 2023 investor letter:
“In the attractive healthcare sector, we look beyond the obvious to identify businesses that simultaneously have exposure to this growth industry and also trade at low prices. We’re especially drawn to companies likeCigna Group, whose products or services play a part in helping to mitigate healthcare’s constantly rising costs. The healthcare industry has been a growing part of the U.S. economy for decades. As a result, many companies in this sector trade at high valuations reflecting their robust but well-known reputation for growth. For value-conscious investors like us, investing in healthcare requires looking beyond the obvious to identify businesses that have exposure to this growth industry but which trade at low prices. Furthermore, recognizing that the constantly rising cost of healthcare cannot go on forever, we have been particularly drawn to companies whose products or services play some role in managing or reducing the cost of care. As a result, we have positions in Cigna Group, a well-regarded provider of managed care.
1. Block Inc. (NYSE:SQ)
Michael Burry’s Q1’2024 Stake: $7,612,200
Percentage of Burry’s Portfolio: 7.35%
Michael Burry owns a $7.6 million stake in Block Inc. (NYSE:SQ) as of the end of the first quarter of 2024. Scion increased its hold in Block Inc. (NYSE:SQ) by 80% in the period. In a latest report, Barclays’ analyst Ramsey El-Assal said that Block Inc. (NYSE:SQ) is a “likely” candidate for S&P 500 inclusion. The analyst cited Block Inc.’s (NYSE:SQ) Q4 performance, adding that Block Inc.’s (NYSE:SQ) positive GAAP net income in the quarter can be an eligibility factor.
Block Inc.(NYSE:SQ) shares have gained about 28% over the past one year.
ClearBridge Value Equity Strategy stated the following regarding Block, Inc. (NYSE:SQ) in its fourth quarter 2023 investor letter:
“Stock selection in the financials sector proved to be the largest contributor to relative outperformance.The sector also contained our top individual holding during the period:Block, Inc.(NYSE:SQ), whose stock price maintained its upward momentum after it announced that Square retailers saw substantial increases in holiday spending trends and transactions, and greater optimism for a soft landing helped alleviate investor concerns over consumer spending.”
Click to see the 5 Biggest Positions of Michael Burry in Q1’2024
