Michael Burry's latest stock bet is skyrocketing

Core Insights - Michael Burry, known for predicting the 2008 subprime mortgage crisis, achieved a 74.24% return on his stock portfolio in 2024, significantly outperforming the S&P 500 [1] Company Overview - Oscar Health, Inc. operates a direct-to-consumer digital platform for health insurance and has recently become profitable in Q1 2024 after struggling since its IPO in early 2021 [3][9] Stock Performance - Oscar Health stock (NYSE: OSCR) closed at $15.85 on February 18, up from$13.46, marking a 17.75% rally, which extended to a 23.84% increase by February 19, bringing year-to-date returns to 24.03% [4][5] Investment Activity - The surge in Oscar Health's stock price is attributed to investors buying at bargain prices after the stock hit a 12-month low of $13.06 on February 13 [5] - Following a Q4 earnings call on February 4, Oscar Health reported a double miss on revenues and earnings per share, leading to an attractive valuation for the stock [5][6] Valuation Metrics - Despite the recent surge, Oscar Health's forward price to earnings (PE) ratio stands at 24.03, indicating a potentially attractive investment opportunity [6] Burry's Holdings - Michael Burry holds 200,000 shares of OSCR, representing approximately 3.5% of his portfolio, with potential gains or losses depending on the acquisition price during Q4 [9]