What Michael Burry's Latest Portfolio Moves Reveal About Market Opportunities

Michael Burry has made headlines throughout his career, most famously for predicting the 2007-2008 housing collapse. Today, his hedge fund Scion Asset Management—managing over $103 million in assets—offers fresh insights into where smart money is positioning itself. A significant portion of his current strategy is particularly revealing: approximately 26% of Scion’s portfolio is concentrated in just three holdings that paint an interesting picture of today’s market landscape.

The China Play: Strategic Bets on e-Commerce Recovery

Burry’s most aggressive moves have been in Chinese equities, where he’s deployed capital while mainstream investors were retreating due to geopolitical concerns. His timing and conviction are notable.

JD.com (JD) represents his largest single position at 9.5% of the portfolio. Beginning in Q3 2023, when JD.com traded at $41, Burry methodically accumulated 360,000 shares over three quarters, averaging around $29.53 per share. The stock eventually dipped to $22 before recovering to $35, then settling near his entry point. What makes this relevant is not just the entry price, but the operational turnaround unfolding beneath the surface. After losing ground to competitors like Temu, JD.com responded with aggressive pricing strategies and eliminated delivery minimums. The strategy worked—Q4 earnings handily beat expectations. The company’s 618 shopping festival, an annual mega-event comparable to major global retail events, generated approximately $60 billion in merchandise sales, signaling strong consumer engagement and market recovery momentum.

Alibaba (BABA) follows as his second-largest Chinese exposure at 8.7% of Scion’s portfolio, with a $9 million position comprising 125,000 shares. Burry entered at around $80 per share, nearly identical timing to his JD.com accumulation. The stock currently hovers near his average cost, suggesting patience for the recovery narrative to play out. Beyond operational improvements, Alibaba benefits from structural support—China’s government actively stimulates consumer spending while serving as a backstop buyer for equities when volatility spike. This policy floor, while not guaranteed, provides downside protection for long-term holders positioning for the company’s e-commerce renaissance.

The Healthcare Conviction: Demographic Tailwinds

Beyond China, Burry’s third-largest holding reveals conviction in a different secular trend. HCA Healthcare (HCA) represents 8.1% of his portfolio with a $8.3 million stake in 25,000 shares. He initiated this position in Q4 2023 at approximately $267 per share. With the stock now trading around $337, he’s sitting on gains exceeding 26%—a significant outperformance that reflects the fundamental strength of healthcare infrastructure.

The operator’s metrics paint a compelling picture. First-quarter results showed 11% revenue growth to $17.3 billion alongside 22% profit expansion. Same-facility admissions jumped 6.2% while emergency room visits surged 7%. Most tellingly, revenue per admission increased 4% year-over-year, indicating pricing power and operational efficiency. Healthcare remains non-discretionary—essential services people cannot postpone—making it a natural port during economic uncertainty.

The Broader Message: Value in Contrarian Positioning

What connects these three positions isn’t sector homogeneity but rather contrarian opportunity identification. Burry entered Chinese equities when sentiment was decisively negative, accumulated at depressed valuations, and is now watching operational recoveries validate his thesis. In healthcare, he recognized an anti-fragile business model with demographic tailwinds and limited cyclicality. Together, these 26% of holdings represent calculated bets on mean reversion and secular undervaluation—the investment playbook Burry has executed successfully for decades.