Michael Burry Goes Bullish, $UNH Investment Case, $AI CEO Rebuke, and More
Welcome back to the BBAE Blog, your trusted source for the latest investment insights and analyses from the BBAE team. This week, we’re excited to share some highlights that will keep you informed and ahead of the market. Don’t forget, some of our most valuable insights are available exclusively in the BBAE Pro app—download it now to unlock full access!
- Michael Burry – Portfolio Update – Q2 2025
- Bristlemoon Global: UnitedHealth ($UNH) Investment Case
- John Paulson Boosts Stake in Bausch Health with $21M Purchase
- Trending Tickers: $AI Tumbles on CEO Rebuke, $GIL to Buy $HBI, $WBTN Soars on Disney Deal
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Michael Burry – Portfolio Update – Q2 2025
In Q2 2025, Michael Burry made a notable pivot, moving from a defensive stance heavy on put options to a bullish strategy centered on major new positions—most notably in UnitedHealth Group ($UNH), where he now holds both common stock and call options. Other moves included a sizable bet on Lululemon Athletica ($LULU) with shares and calls, as well as new stakes in Regeneron Pharmaceuticals ($REGN), MercadoLibre ($MELI), and select Chinese tech names like Alibaba ($BABA) and JD.com ($JD). Burry also stayed long on Estée Lauder ($EL), trimming the stake but maintaining it as his largest common stock holding while adding call options. The shift marks a sharp reversal from last quarter, when his portfolio consisted of just one long position and six put positions. Click here to read the full article.
Bristlemoon Global: UnitedHealth ($UNH) Investment Case
Bristlemoon Global Fund established a contrarian position in UnitedHealth Group ($UNH) following a dramatic 50% stock decline from recent highs, triggered by a series of operational crises including elevated Medicare Advantage utilization, inadequate risk adjustments, regulatory challenges, and the sudden resignation of CEO Andrew Witty amid DOJ fraud investigations. While acknowledging that UNH is no longer the defensive compounder historically perceived by investors, Bristlemoon views the current situation as offering asymmetric risk/reward, with the market having overcorrected for operational challenges that should be addressable through 2026 plan design and pricing. The fund estimates potential upside to $290-$375 per share (12-15x projected 2026 EPS of $24-$25) compared to current distressed levels, representing an opportunistic bet on America’s largest integrated healthcare company at a significant valuation discount while management changes address the cultural issues that prioritized growth over prudent risk management. Read the full article here.
John Paulson Boosts Stake in Bausch Health with $21M Purchase
John Paulson, the billionaire investor best known for profiting from the U.S. housing crash in 2008, recently increased his stake in Bausch Health Companies ($BHC), a pharmaceutical company specializing in eye health, gastroenterology, and dermatology products. Paulson, who serves as a director at the company, purchased 3,243,049 shares at $6.56 per share for a total of $21.27 million, boosting his holdings by 10%. According to InsiderEdge, Paulson holds a perfect track record with a 100% win rate on his past transactions. You can track insider activity like this daily with InsiderEdge, available in the BBAE app.
Trending Tickers: $AI Tumbles on CEO Rebuke, $GIL to Buy $HBI, $WBTN Soars on Disney Deal
This week, several companies made headlines with earnings surprises, acquisitions, and new partnerships. Here’s a breakdown:
- C3.ai ($AI): Shares tumbled after preliminary results showed a major revenue miss and deepening losses. CEO Tom Siebel called the performance “completely unacceptable,” citing internal restructuring and his recent health issues.
- Gildan Activewear ($GIL): Gildan will acquire HanesBrands ($HBI) in a $4.4 billion deal, combining two major players in basic apparel. The deal is expected to generate $200 million in cost synergies and be accretive to EPS.
- WEBTOON ($WBTN): WEBTOON announced a multi-year partnership with Disney to bring Marvel, Star Wars, and Disney comics to its mobile-first platform. The collaboration will feature 100+ titles reformatted for vertical scroll and offer original webcomic content.
Read the full Weekly Highlights article here.
This article is for informational purposes only and is neither investment advice nor a solicitation to buy or sell securities. All investment involves inherent risks, including the total loss of principal, and past performance is not a guarantee of future results. Always conduct thorough research or consult with a financial expert before making any investment decisions. BBAE has no position in any investment mentioned.
