5 Best Cheap Stocks to Buy According to Michael Burry

4. CVS Health Corporation (NYSE: CVS)

Burry’s Stake Value: $8,275,000
Percentage of Michael Burry’s 13F Portfolio: 0.61%
Number of Hedge Fund Holders: 62

The health care services company CVS Health Corporation (NYSE: CVS) is the newcomer in the Scion Asset Management portfolio. With a price-to-earnings ratio of 15, CVS is among Michael Burry’s top 10 cheap stock picks. During the first quarter, Scion bought 110,000 shares of CVS valued at around 8.27 million. The Big Short’s bet moved in the right direction in the case of CVS. The company’s stock price is up 23% year to date and shares grew 14% in the last three months.

ClearBridge Investments, an investment management firm, highlighted a few stocks including CVS Health Corporation in the first quarter investor letter. Here is what ClearBridge Investments stated

“Our underweights in health care and staples contributed to relative performance during the period. As we continue to focus the portfolio on high-conviction ideas, we sold CVS in the first quarter, in the health care sector.”