A recent regulatory filing reveals that Burry now owns 200,000 shares in the cosmetics giant—worth approximately $13.2 million—up from 100,000 shares at the end of December 2024.
Michael Burry, the famed investor portrayed in The Big Short for predicting the 2008 financial crisis, has doubled his stake in Estée Lauder through his firm, Scion Asset Management.
This bold move comes as Estée Lauder undergoes a strategic transformation under new CEO Stéphane de La Faverie, who took the helm in January. With the company grappling with sluggish demand in critical markets like North America and China, de La Faverie has prioritized new product launches and expanded luxury offerings to reignite growth. Despite these efforts, Estée Lauder shares have fallen 15% year-to-date, though they saw a modest 2% bump on Friday.
“Burry’s bet suggests belief in Estée Lauder’s ability to reclaim its status as a beauty powerhouse in an increasingly competitive global market,” said Angeli Gianchandani, a global brand marketing expert at NYU.
Morningstar analyst Dan Su echoed cautious optimism, noting that while the investment is not large in size, it signals confidence in the company’s turnaround potential.
Estée Lauder’s challenges are compounded by global macroeconomic tensions, particularly its significant exposure to China, which made up about 31% of its total sales in fiscal 2024.
Burry’s broader portfolio adjustments also drew attention, as he halved the number of companies Scion Asset Management is invested in, narrowing his focus to just seven holdings.
