Michael Burry’s Top Holdings Were Gaining While NVDA Was Crashing

3. JD.Com Inc

Portion of portfolio: 13.43%

Value of holdings: $10,401,000

JD.Com Inc (NASDAQ: JD) is one of the largest retailers business-to-consumer (B2C) online retailers in China in terms of revenue and transaction volume, a member of the NASDAQ100 and a Fortune Global 500 company. Headquartered in Beijing, the Chinese e-commerce company and one of Michael Burry’s top portfolio holdings is a major competitor to Alibaba-run Tmall.

Burry rolled back on his investment in Jd.Com in the fourth quarter decreasing its stake by 40% quarter-over-quarter to 300,000 shares, according to 13F regulatory filings on February 14. With the broader Chinese stock market recovering, the stock is up year-to-date nearly 19% trading at $40.75 after the market close on March 11.

JD.Com’s fourth quarter revenues reported on March 6 increased by 13.4% year-over-year to RMB347.0 billion ($47.5 billion), beating estimates as a results of positive consumption trends. Ian Su Shan, the company’s CFO said this trend is seen across multiple categories and revenue streams, attributing it to  positive macro consumption trends and JD’s expanding market share. Operating margin was 2.4% for the same period, compared to 0.7% for the fourth quarter of 2023.

JD.com, with a market capitalization of $63.066 billion wrapped up January by proposing acquisition of remaining Dada Nexus Limited shares at $2 per American depositary share, or 50 cents per ordinary share e. The non-binding proposal to take the Chinese online retail business private follows JD.com disclosing a 63% stake in Dada Nexus after acquiring Walmart’s 9.3% interest in the company last year. In February the company also opted to venture into the country’s food delivery business recently announcing its plan to start registering catering merchants on its courier system.