In this article, we discuss the 5 stocks Michael Burry is selling. If you want to read our detailed analysis of Burry’s history, and hedge fund performance, go directly to the 10 Stocks Michael Burry Is Selling.
5. HollyFrontier Corporation (NYSE: HFC)
Number of Hedge Fund Holders: 20
HollyFrontier Corporation (NYSE: HFC) is a Texas-based petroleum refining company. The company’s shares have returned over 19% to investors in the past twelve months. It ranked fifth on our list of 10 stocks Michael Burry is selling. Burry sold his entire stake in the company at the beginning of this year. However, the firm posted mixed earnings results for the first quarter of 2021 on May 5, reporting earnings per share of -$0.53, missing market estimates by $0.07. The revenue for the first three months of 2021 was $3.5 billion, up close to 3% year-on-year and beating market predictions by $680 million.
On May 20, investment advisory Goldman Sachs downgraded HollyFrontier Corporation (NYSE: HFC) stock to Sell from Neutral with a price target of $34 after on the back of uncertainty around capital allocation and the suspension of dividend payouts as part of a funding strategy.
Out of the hedge funds being tracked by Insider Monkey, Boston-based investment firm Arrowstreet Capital is a leading shareholder in HollyFrontier Corporation (NYSE: HFC) with 1.6 million shares worth more than $57 million.
4. Kimball International, Inc. (NASDAQ: KBAL)
Number of Hedge Fund Holders: 16
Kimball International, Inc. (NASDAQ: KBAL) is placed fourth on our list of 10 stocks Michael Burry is selling. The stock has returned 15% to investors in the past twelve months. The company makes and sells furniture products around the world. On May 4, the firm posted quarterly earnings results for the third quarter, reporting earnings per share of -$0.03, missing market predictions by $0.07. The revenue for the period was $138 million, down 22% year-on-year and missing market estimates by more than $3.5 million. Burry, perhaps sensing the disappointing earnings, sold his entire stake in the company during the first three months of 2021.
Kimball International, Inc. (NASDAQ: KBAL) is also a solid option for investors who want to retire early as the firm pays a regular and healthy dividend. On April 26, the firm declared a quarterly dividend of $0.09 per share, in line with previous. The forward yield was 2.5%.
At the end of the first quarter of 2021, 16 hedge funds in the database of Insider Monkey held stakes worth $478 million in Kimball International, Inc. (NASDAQ: KBAL), down from 18 in the preceding quarter worth $627 million.
3. Urstadt Biddle Properties Inc. (NYSE: UBP)
Number of Hedge Fund Holders: 10
Urstadt Biddle Properties Inc. (NYSE: UBP) is a real estate investment trust based in Connecticut. It is ranked third on our list of 10 stocks Michael Burry is selling. The company’s shares have returned 62% to investors in the past year. The company is one of the best investment options for steady income on the side. On June 7, it declared a quarterly dividend of $0.207 per share, an increase of more than 65% from the previous dividend. The forward yield was over 5.3%. However, Burry has sold his entire stake in firm.
On June 28, Urstadt Biddle Properties Inc. (NYSE: UBP) announced that it was selling the Newington Park Shopping Center for more than $13 million. CEO Willing Biddle said that the property was being sold because it no longer met ideal investment parameters.
Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm Renaissance Technologies is a leading shareholder in Urstadt Biddle Properties Inc. (NYSE: UBP) with 336,817 shares worth more than $5.6 million.
2. Molson Coors Beverage Company (NYSE: TAP)
Number of Hedge Fund Holders: 34
Molson Coors Beverage Company (NYSE: TAP) stock has offered investors returns exceeding 52% over the course of the past year. The company makes and sells beers and other beverages. It is placed second on our list of 10 stocks Michael Burry is selling. Burry has sold his entire stake in the firm, but on May 25, investment advisory Bernstein initiated coverage on the stock with an Outperform rating and a price target of $74, implying an upside potential of 28%. Trevor Stirling, an analyst at the firm, said that strong growth was expected for beer brands in super-premium domestic beer.
The Molson Coors Beverage Company (NYSE: TAP) posted earnings for the first quarter of 2021 on April 29, reporting earnings per share of $0.01, beating market predictions by $0.11. The revenue over the period was close to $2 billion, beating market predictions by $30 million.
At the end of the first quarter of 2021, 34 hedge funds in the database of Insider Monkey held stakes worth $341 million in Molson Coors Beverage Company (NYSE: TAP), down from 39 in the preceding quarter worth $386 million.
1. Tesla, Inc. (NASDAQ: TSLA)
Number of Hedge Fund Holders: 62
Tesla, Inc. (NASDAQ: TSLA) is ranked first on our list of 10 stocks Michael Burry is selling. The company’s shares have offered investors returns exceeding 180% over the course of the past twelve months. The company makes and sells electric vehicles and clean energy products. Burry has a short position on the stock, believing it is overvalued and facing increased competition. However, on July 2, the company announced that it had produced more than 206,000 vehicles in the second quarter of 2021, delivering more than 201,000 of them that included 1,890 Model S/X vehicles and 199,360 Model 3/Y vehicles, largely meeting market expectations in this regard.
On July 2, investment advisory Wedbush maintained an Outperform rating on Tesla, Inc. (NASDAQ: TSLA) stock with a 12-month price target of $1,000, backing the electric vehicle maker to deliver close to 900,000 vehicles this fiscal year with a strong second half. The company, despite being one of the most shorted stocks in the world – high profile investors like David Einhorn and Jim Chanos have also previously revealed big shorts on the firm – has a track record of beating bear predictions and trumping big finance.
Out of the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in Tesla, Inc. (NASDAQ: TSLA) with 24.4 million shares worth more than $16 billion.
Here is what Baron Partners Fund has to say about Tesla, Inc. (NASDAQ: TSLA) in its Q1 2021 investor letter:
“Tesla, Inc. designs, manufactures, and sells fully electric vehicles, solar products, energy storage solutions, and battery cells. The stock fell during the quarter as a result of general market dynamics and a potential production slowdown due to parts shortages. A refreshed S/X and China Model Y ramp could also have a negative impact on margins in early 2021. We anticipate strong growth and improved margins driven by new production capacity, manufacturing efficiencies, localization of its manufacturing and supply chain, and maturation of Tesla’s full self-driving technology.”
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