The Big Long 🎥

The Big Long

One of the boldest stock pickers on the planet once made a market call so big they made a movie about it. Now, Michael Burry is back! Throwing the cat amongst the pigeons, the star of ‘The Big Short’ is making an equally confident ‘Big Long!’

Telling the story of 2008’s financial collapse, ‘The Big Short’ is a cult classic among investors. Christian Bale plays the role of Michael Burry, who (spoiler alert!) bets against the system to make a cool 493%. Come the end of the movie, Christian Bale with his fake eye and bad haircut was telling you to rehydrate on water stocks, and retreat to something safe. Before you could raise a hand, the credits rolled, and Burry went underground.

Recently, however, he’s returned! Staying true to his contrarian roots, Burry has announced a sizable 3% stake in GameStop! For context, shares in the electronics retailer have been hit for 70% in the past year, the firm fighting for survival. Buying stock in such a systemically troubled company is like trying to catch a falling knife, but he believes “it looks worse than it really is.” Those words have trickled down to the trading floor…

When hard-earned money is behind a struggling company, investors will cling to every possible hope. As news filtered through about Burry’s backing of GameStop, it wasn’t surprising to see the shares pop! As sentiment swung, the boos and whistles toward the company silenced. Market players started hearing a bull case for the stock that would, only a few days ago, have gotten you laughed out of the room!

Between you and me, nobody’s overnight blessing actually changes the numbers at hand. In fact, one look at a free 13F form filed by Burry’s firm, Scion Capital Management, would reveal not just his investment in GameStop, but in Disney, Alphabet, and Facebook, too. The more you know!

Share:
More Posts
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.