In this article, we discuss the 5 stocks that Michael Burry is dumping. If you want to read our detailed analysis of these stocks, go directly to Michael Burry Is Dumping These 10 Stocks.
5. Marinus Pharmaceuticals, Inc. (NASDAQ:MRNS)
Number of Hedge Fund Holders: 13
Burry had held a stake worth $11 million in Marinus Pharmaceuticals, Inc. (NASDAQ:MRNS) at the end of the second quarter of 2021. He sold off this holding completely during the third quarter, latest filings show.
In August, Truist analyst Joon Lee had kept a Buy rating on Marinus Pharmaceuticals, Inc. (NASDAQ:MRNS) stock with a price target of $40, underlining the potential of pipeline drugs of the firm.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Lion Point is a leading shareholder in Marinus Pharmaceuticals, Inc. (NASDAQ:MRNS) with 3.6 million shares worth more than $65 million.
4. Discovery, Inc. (NASDAQ:DISCA)
Number of Hedge Fund Holders: 44
Discovery, Inc. (NASDAQ:DISCA) is a New York based media firm. The hedge fund overseen by Burry had held $24 million worth of shares in the company at the end of the second quarter. That stake has been sold off completely in the third quarter, according to the latest data.
Macquarie analyst Tim Nollen recently upgraded Discovery, Inc. (NASDAQ:DISCA) stock to Outperform from Neutral and raised the price target to $40 from $33, noting the growth of the streaming platform of the firm in a bullish investor note.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm DE Shaw is a leading shareholder in Discovery, Inc. (NASDAQ:DISCA) with 5.6 million shares worth more than $165 million.
In its Q1 2021 investor letter, Mayar Capital, an asset management firm, highlighted a few stocks and Discovery, Inc. (NASDAQ:DISCA) was one of them. Here is what the fund said:
“We also sold most of our holdings in Discovery as the stock price continued to increase to new highs. However, in late March the stock declined considerably when brokers liquidated holdings by Archegos Capital (see above in General Commentary) to satisfy margin calls. That brought the stock price down to levels that we found attractive, and we bought back a significant amount of the shares that we had sold earlier that month.”
3. Cardinal Health, Inc. (NYSE:CAH)
Number of Hedge Fund Holders: 40
Cardinal Health, Inc. (NYSE:CAH) operates as an integrated healthcare solutions firm. Scion Asset Management had owned CALL options against 857,700 shares of the company worth $48 million at the end of the second quarter. All these options were exercised in the third quarter.
On November 12, investment advisory Deutsche Bank kept a Hold rating on Cardinal Health, Inc. (NYSE:CAH) stock and raised the price target to $59 from $51, noting the “modest” earnings beat of the firm in the third quarter results.
At the end of the second quarter of 2021, 40 hedge funds in the database of Insider Monkey held stakes worth $897 million in Cardinal Health, Inc. (NYSE:CAH), up from 39 in the previous quarter worth $967 million.
2. Golden Ocean Group Limited (NASDAQ:GOGL)
Number of Hedge Fund Holders: 15
At the end of the second quarter of 2021, Burry had held a stake worth $7 million in Golden Ocean Group Limited (NASDAQ:GOGL). This was sold off completely between June and September this year, latest filings show.
In September, H.C. Wainwright analyst Magnus Fyhr had initiated coverage of Golden Ocean Group Limited (NASDAQ:GOGL) stock with a Neutral rating and a price target of $13, noting the outlook on the dry bulk industry was constructive in the coming months.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Renaissance Technologies is a leading shareholder in Golden Ocean Group Limited (NASDAQ:GOGL) with 1.9 million shares worth more than $21 million.
1. CoreCivic, Inc. (NYSE:CXW)
Number of Hedge Fund Holders: 13
CoreCivic, Inc. (NYSE:CXW) owns and runs correctional and detention facilities. It recently posted earnings for the third quarter, reporting a revenue of $471 million, up 0.6% year-on-year and beating market estimates by more than $4 million.
Regulatory filings show that Scion Asset Management owned 412,126 shares in CoreCivic, Inc. (NYSE:CXW) at the end of the third quarter of 2021 worth over $3.6 million, representing 8.79% of the portfolio. The fund has trimmed stake in the firm by 69% compared to the second quarter.
At the end of the second quarter of 2021, 13 hedge funds in the database of Insider Monkey held stakes worth $97 million in CoreCivic, Inc. (NYSE:CXW), down from 18 in the previous quarter worth $95 million.
You can also take a peek at 10 Best Dividend Stocks to Buy According to Michael Burry and 10 Best Cheap Stocks to Buy According to Michael Burry.
