5 Most Famous Hedge Fund Managers and Their Top Stock Picks

In this article, we discuss 5 most famous hedge fund managers and their top stock picks. If you want to see more hedge fund managers, check out 15 Most Famous Hedge Fund Managers and Their Top Stock Picks. 

5. Michael Burry 

Michael Burry is an American investor, physician, and hedge fund manager. He created the hedge fund Scion Capital, which he operated from 2000 to 2008, and then shut it down to concentrate on his personal investments. Michael Burry gained from the subprime mortgage crisis by betting against the 2007 mortgage bond market, earning $100 million for himself and $700 million for his investors. At the end of the third quarter of 2022, Burry’s stock portfolio was worth $41.3 million. The GEO Group, Inc. (NYSE:GEO) is the biggest position in Burry’s portfolio, with 2 million shares valued at $15.5 million. 

Miller Value Partners released its Q1 2021 investor letter and mentioned The GEO Group, Inc. (NYSE:GEO) in it. Here is what the fund said: 

“GEO Group (GEO) declined 9.8% during the period as President Biden’s Executive Order directing the Department of Justice not to renew contracts with private prisons at the Federal level offset solid Q4 results. GEO reported Q4 revenue of $578.1M, in-line with consensus while EBITDA of $107.9M topped estimates of $87.7M by 23%. Adjusted Funds from Operations (AFFO) of $0.62/share fell 6% Y/Y and provided coverage of 2.5x on the quarterly dividend of $0.25/share (13.5% annualized yield). The company exited the quarter with ample liquidity of $420M and remains committed to paying down $75M-$100M of debt annually. Management introduced 2021 guidance with revenue of $2.24Bn-$2.27Bn, EBITDA of $386M-$400M, and AFFO of $1.98-$2.08, all of which assumes Bureau of Prison contracts with optional expiration periods in 2021 will not be renewed. Additionally, GEO announced a $200M convertible notes offering due 2026 with net proceeds funding the redemption of the 5.875% unsecured notes due 2022.”