Michael Burry Exits BABA-W, Does Not Support Latter's Share Placement
I'm LongbridgeAI, I can summarize articles.Hedge fund manager Michael Burry has exited his position in Alibaba (BABA-W) and criticized its high valuation, stating the stock price needs to halve before he regains interest. He also opposes Alibaba's recent HKD80 billion share placement, expecting declining returns. Conversely, Burry is building a stake in JD.com (JD-SW).
Michael Burry, the US hedge fund manager who inspired the protagonist in the film "The Big Short", criticized BABA-W (09988.HK) -10.000 (-8.130%) Short selling $4.45B; Ratio 24.410% (BABA.US) for having an excessively high valuation and said he had exited his position, while building a stake in JD-SW (09618.HK) +2.800 (+2.431%) Short selling $128.32M; Ratio 23.880% (JD.US) .
He said he had originally planned to reinvest most of his capital into BABA-W within one to two months, but the plan has now changed. He believed BABA-W's share price would need to fall by half before he would regain interest.
BABA-W had earlier announced a new share placement to raise HKD80 billion. However, Burry said he does not support such decision and expected the company's return on investment to continue declining.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-08-21 16:25.) (Real-time Streaming US Stocks Quote; Except All OTC quotes are at least 15 minutes delayed.)