Michael Burry
· Cassandra Unchained
· September 03, 2026 at 23:34
· ⏱ 1 min read
| Read on Substack ↗
Summary
Michael Burry reflects on the reality of investment losses, using his past permanent loss in Tailored Brands to illustrate how management decisions can destroy asset-based value. He discloses that his current largest portfolio position, Lululemon, is significantly moving against him and dragging his performance underwater.
•Tailored Brands resulted in a permanent loss of capital because management chose bankruptcy despite having available liquidity.
•The original thesis for Tailored Brands relied on hidden value in owned land and buildings, which was wiped out during the bankruptcy process.
•Lululemon (LULU) is currently the largest single position in Burry's portfolio.
•The LULU position is currently generating losses, described metaphorically as taking the portfolio 'where mermaids fear to tread.'
Read time1 min
Length917 chars
Categoryfinance
Ideas
Michael BurryFounder, Scion Asset Management; subject of The Big Short
The stock is currently the largest position in the portfolio but is actively moving against the author, causing significant unrealized losses and acting as a 'trickster'.
This newsletter, published September 03, 2026,
features Michael Burry
discussing LULU.
1 trade idea extracted by AI with direction and confidence scoring.