In Michael Burry's stock, the potential is huge

We recently released a list 10 Michael Burry stocks have huge upward potential. In this article, we will take a look at JD.com, Inc. (NASDAQ: JD) Stand with other Michael Michael Burry Stock with huge upward potential.

Michael Burry, Founder and Manager Scion Asset Managementfamous for predicting and profiting from the collapse of the housing bubble in the mid-2000s. His bold counter-trend bet is famous in the book, the movie "The Big Dwarf". Burry's investment strategy is drawn greatly from the rigorous market analysis and principles outlined in 1934's Security Analysis. The book advocates the advantages of financial statement analysis and emphasizes the importance of intrinsic value and structured investment principles.

That is, Bury never shys away from putting his own unique stamps on Wall Street’s principle of time-testing. By leveraging sophisticated financial instruments such as derivative securities and short selling, Burry has accumulated wealth, challenging traditional market wisdom. His 2001 Scion Value Fund Letter provides fascinating insights into his counter-trend prospects, which prioritizes long-term value over short-term price volatility. Burry made it clear that he was willing to tolerate short-term volatility in order to achieve substantial long-term returns. He said:

“I always choose a dollar bill with huge volatility discounts, rather than a dollar bill that sells at a fairly stable premium.”

He also has no doubts about making large investments in some of the stocks he believes are undervalued, investors who are holdings by Scion at the end of 2024.

Before the quarter ended on December 31, 2024, Michael Burry’s investment in technology stocks in the country was just around the corner after DeepSeek’s AI breakthrough sparked $1.3 trillion in Chinese tech stocks. The moves came during a period of high volatility in Chinese stocks, when investors appeared to lose confidence in Beijing after stimulus measures were implemented in late September. The government's actions sparked a crazy rally until early October, despite poor economic outlook due to the property crisis and unhappy with the scope of fiscal stimulus in the following months.

In this article, we examine Scion Asset Management's fourth quarter 2024 13F file to list Michael Burry's stock picks with the highest upside potential. We rank the company by its upward potential. These stocks are also popular among elite hedge funds.

Why are we interested in stocks that hedge funds to accumulate? The reason is simple: Our research shows that we can beat the market by mimicking the top stocks of the best hedge funds. Our strategy for quarterly newsletters selects 14 small and large stocks every quarter, returning 373.4% since May 2014, beating its benchmark by 218 percentage points (See more details here).

Beijing
Beijing

The broad and strong vision of the supply chain distribution center illustrates the company's technical capabilities.

Scion Asset Management's Q4 shares: $10.4 million

Analysts as of May 9: 47.93%

Number of hedge fund holders: 78

JD.com, Inc. (NASDAQ:JD) is a leading Chinese e-commerce company focusing on computers and other electronic products, and has been a supply chain-centric technology provider. JD.com has become a major player in the online retail market in China using its logistics network.

On April 28, Citi analysts revised their on JD.com, Inc. (NASDAQ:JD) Outlook, lowering its target from $56 to $51 while maintaining a buy rating for the company's stock. The adjustment was when the company's order volume rose from 5 million to 10 million in ten days, indicating a strong boost from the dining market.

JD.com, Inc. (NASDAQ:JD) announced its fourth-quarter and full-year 2024 financial results on March 6, 2025, indicating year-on-year growth in many key areas. The company reported net revenue in the fourth quarter was RMB 347 billion ($147.5 billion), an increase of 13.4% from the same period in 2023. The net income for the whole year also reached 1.158 billion yuan 1.158 billion yuan (US$158.8 billion), an increase of 6.8% over the previous year.

Patient capital opportunity equity strategy in its jd.com, Inc. (NASDAQ: JD) states the following Q1 2025 Investor Letter:

“We’ve entered JD.com, Inc. (NASDAQ: JD), China's leading e-commerce company. Unlike competitors in this field, JD focuses on consumer electronics and household appliances, supporting strong differences and defending profits. The company carried out a one-year organizational restructuring for unwise businesses within a low-cost competitive space that lacked advantages. Not only will the company benefit from returning to its roots, but the government has introduced trade-off rebates for household appliances and consumer electronics to further support demand. Meanwhile, the company was disciplined for spending, creating a story of profit expansion as Topline demand improves. As the Chinese government focuses on key consumption, we believe that JD is in a good state and can benefit from increasing demand and increasing profit margins. Meanwhile, the company returned cash to shareholders through a 3.0% dividend yield, while the repurchase program repurchased 8.1% in 2024. While the risk of a trade war with China is an excessive amount of stocks, the company generates most of its revenue at home. ”

Overall, JD Ranked third There is huge upward potential on our Michael Burry stock list. Although we acknowledge that JD's potential is an investment, our belief is to believe that certain AI stocks have higher returns and do this in a shorter time frame. AI stocks have risen since the beginning of 2025, while popular AI stocks have lost about 25%. If you are looking for AI stocks that are more promising than JD but have less than 5 times its earnings, check out our report The cheapest AI stock.

Read the next article: Buy 20 Best AI Stocks Now and According to the billionaire, there are now 30 best stocks.

Disclosure: None. This article was originally published in Inside monkey.