Michael Burry Stock Portfolio: 6 Stocks to Buy

2. Lululemon Athletica Inc. (NASDAQ:LULU)

Scion Asset Management Equity Stake: $11.88 Million

Stock Performance (end Q2-October 9): -26.70%

Number of Hedge Fund Holders: 55

Lululemon Athletica Inc. (NASDAQ:LULU) is one of the top stocks in Michael Burry’s stock portfolio. On October 6, an analyst at Jefferies reiterated an ‘Underperform’ rating on the stock and cut the price target to $120 from $150.

The price target cut comes amid concerns that the company is facing the same challenges that Under Armour faced between 2015 and 2025, including a decline in market share. In addition, the company is struggling with fashion shifts and strategic missteps.

Amidst the concerns, Lululemon still boasts of sky-high sales per square foot and margins compared to the mall average and its peers. Additionally, consensus on Wall Street is that the company is well-positioned to deliver sales growth in 2026.

Lululemon Athletica Inc. (NASDAQ:LULU), manufactures and sells athletic apparel, footwear, and accessories, particularly known for its premium-quality yoga, running, and training wear. It sells its products through its own retail stores and direct-to-consumer online channels, offering a range of items for both women and men.