Michael Burry’s 5 New Stock Picks

In this article, we discuss Michael Burry’s top 5 new stock picks. For Burry’s investment philosophy and his comments on certain stocks please see Michael Burry’s New Stock Picks.

5. CoreCivic, Inc. (NYSE: CXW)

Value: $6,550,000
Percent of Michael Burry’s 13F Portfolio: 2.92%
Number of Hedge Fund Holders: 18

Corecivic ranks 5th on the list of Michael Burry’s new stock picks. The company operates over 50 correctional and detention facilities. The stock has lost about 23% in value over the last 12 months. In the fourth quarter, Corecivic’s normalized FFO came in at $0.63, beating the consensus of $0.49.  The company in the quarter reduced its debt load by $125 million. The stock recently fell after The United States Marshals Services notified that company that it won’t extend its contract for the Ohio correctional center. The news comes after President Biden signed an executive order asking the Justice Department not to renew contracts with private correctional centers.

As of the end of the fourth quarter, there were 18 hedge funds in Insider Monkey’s database that held stakes in CoreCivic, compared to 19 funds in the third quarter. Arrowstreet Capital, with 2.8 million shares of CXW, is the biggest stakeholder in the company.