Michael Burry’s Scion Capital Management dumped its entire stock portfolio in the second quarter as the “big short” hedge fund legend stepped up its warnings of an impending stock market crash, a filing Monday showed.
Scion sold its long positions in 11 companies during the second quarter, including bullish bets on Google parent Alphabet, Facebook parent Meta, Bristol-Meyers Squibb and Nexstar Media Group, according to the company’s most recent 13-F filing.
Holdings were cumulatively worth $165 million at the end of the first quarter.
Burry’s company ended the second quarter with just one share. Scion added 501,360 shares worth $3.3 million in Geo Group, a Florida-based company that invests in and operates private prisons. Shares in Geo Group rose about 12% on Monday.
Michael Burry has more than 1 million followers on Twitter.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 disclose their holdings in public companies each quarter through 13-F filings. The filings do not include short position information and are accurate as of the end of each quarter, meaning that Scion’s positions may have changed since the form was submitted in late June.
Burry’s company sold a stake in Facebook parent company Meta.NurPhoto via Getty Images
Burry’s bet against subprime mortgages was made famous in the 2015 film The Big Short. He has amassed more than 1 million followers on Twitter, where he has frequently posted dire warnings about the state of the world economy in recent months.
The latest warning came last Sunday when Burry tweeted his view that the recent rally on the tech-heavy Nasdaq exchange was likely to be short-lived.
“Can’t shake that silly pre-Enron, pre-9/11, pre-WorldCom feeling,” Burry said in the now-deleted tweet. He often deletes his tweets shortly after publication.
Last week, Burry warned of a “fall of winter” for the US economy due to a surge in consumer debt that could soon cripple spending and worsen a recession.
“Consumer net credit balances are rising at record rates as consumers choose violence over spending in the face of inflation,” Burry tweeted.
Michael Burry has repeatedly warned of an impending stock market crash. AFP via Getty Images
“Remember the problem of the savings glut? No longer. COVID helicopter money has taught people to spend again and it’s addictive. Winter is coming.”
And in July, Burry argued that a brutal market sell-off that was taking place at the time was “perhaps halfway” over, with further falls as companies reported weaker earnings.