Michael Burry’s Top 5 Stock Picks For 2024

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1. Alibaba Group Holding Limited (NYSE:BABA)

Scion Asset Management’s Stake Value: $5.81 million

Number of Hedge Fund Holders: 116

Alibaba Group Holding Limited (NYSE:BABA) offers technology infrastructure and marketing solutions to assist merchants, brands, retailers, and businesses in engaging with their users and customers in China and globally. The company operates through seven segments – China Commerce, International Commerce, Local Consumer Services, Cainiao, Cloud, Digital Media and Entertainment, and Innovation Initiatives and Others. Alibaba Group Holding Limited (NYSE:BABA) is at the forefront of Michael Burry’s stock picks during Q4 2023, with a stake of 75,000 shares worth $5.81 million. Burry strengthened his Alibaba stake by 50% in the last quarter of 2023. 

According to Insider Monkey’s fourth quarter database, 116 hedge funds were bullish on Alibaba Group Holding Limited (NYSE:BABA), in contrast to the preceding quarter when 110 funds had invested in the stock. David Tepper’s Appaloosa Management held a significant position in the company, with 4.35 million shares valued at $337 million.

Baron Emerging Markets Fund stated the following regarding Alibaba Group Holding Limited (NYSE:BABA) in its fourth quarter 2023 investor letter:

“Alibaba Group Holding Limited (NYSE:BABA) is the largest retailer and e-commerce company in China. Alibaba operates shopping platforms Taobao and Tmall and owns 33% of Ant Group, which operates Alipay, China’s largest third-party online payment provider. Shares of Alibaba were down in the fourth quarter due largely to the delay of the previously announced spin-off of its cloud division. Quarterly results were roughly in line with Street expectations, with strength in profitability. We retain conviction that Alibaba is well positioned to benefit from the ongoing growth in online commerce and cloud development in China. While the company is seeing early progress in its efforts to re-invigorate customer engagement and retention as well as merchant investment initiatives, we believe this investment will likely take some time to flow through to accelerating earnings growth. As such, we remain investors but have reduced our position as we monitor further progress.”

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