Investor Michael Burry, immortalized in Michael Lewis’ "The Big Short" for shorting the housing market during the 2008 financial crisis, apparently is in trouble over meme stock GameStop (GME) - Get GameStop Corp. Class A Report.
He said last week in a tweet -- now deleted -- that he drew a subpoena from the Securities and Exchange Commission related to its investigation into video game retailer GameStop.
“So, who got an SEC subpoena over $GME? Actually, I know who, they’re on my subpoena. With all that’s going on in the world…” he tweeted, according to CNBC. The tweet had a copy of the SEC letter dated Sept. 21.
Burry has actively bought and sold GameStop for several years. He held more than $17 million as of Sept. 30, 2020, and then got completely out in the fourth quarter, according to. InsiderScore.com.
Burry’s Scion Asset Management didn’t immediately respond to CNBC’s request for comment. An SEC spokesperson declined to comment.
GameStop on Monday rose 1.9% to $188.59 at last check. It is up 4% over the past six months, up an astronomical 1,752% over the past year and up 582% over the past five years.
Earlier this month, GameStop posted a wider-than-expected loss for the quarter ended July 31 but topped Street sales forecasts, as brick-and-mortar stores saw increased traffic as pandemic restrictions eased.
GameStop said its adjusted loss for the three months ending on July 31 was 76 cents per share, bigger than the Street consensus forecast of a 66-cent loss. Revenue rose 25.6% from last year to $1.18 billion, topping analysts’ estimates of $1.12 billion.