Michael Burry holds stake in Tailored Brands, which could go bankrupt - is this a good sign?
For those who have watched the BIG SHORT, we know Michael Burry as the infamous outside investor who predicted the housing bubble of 2008. More recently, Burry, on behalf of Scion Capital, invested in Tailored Brands. However TLRD could go bankrupt in the coming months. Burry has since reduced his stake below the 5% SEC threshold, in which he lost money. Which means he can sell and buy without letting the SEC know. New management is attempting to turnaround Tailored Brands, which could allow Burry to buy more shares at a discount. Does everyone agree with Burry for still holding some stake, or do investors firmly believe bankruptcy is inevitable?
Very interesting 🧐 another risk reward scenario at an enormous scale