7 Deep Value Stocks Burry is Buying Now

Daniel Pronk•Jul 3, 2026

Summary

Daniel conducts an in-depth review of stocks recently associated with Michael Burry's private portfolio, specifically Adobe and Fiserv. He evaluates the fundamental health of these companies against the bearish narrative that has caused their stock prices to decline significantly from previous highs. His analysis focuses on whether the current low valuation multiples provide enough of a margin of safety for value investors, given the existential threats posed by technological shifts.

Adobe (ADBE): Daniel notes that Adobe is trading at price-to-free-cash-flow multiples not seen since the 2009 financial crisis, which explains Burry's interest. However, he highlights concerns about decelerating organic revenue growth and the recent departure of key executives like the CEO and CFO. He remains cautious because he personally uses generative AI tools instead of Photoshop, leading him to fear that AI may fundamentally disrupt Adobe's core business model over the next five years.

Fiserv (FI): Daniel describes Fiserv as a dominant player in financial core processing with high switching costs and massive transaction volumes. Despite these strengths, the company's recent earnings show a decline in both GAAP and organic revenues, along with a drop in earnings per share. While Burry is buying the dip, Daniel highlights that the business is currently struggling to grow, with management only projecting 1-3% organic revenue growth for 2026.

Mentioned Stocks

ADBE

Sentiment: HOLD

Reasoning: Daniel recognizes that Adobe is trading at historically low multiples (under 8x free cash flow), making it an attractive value play for investors like Burry. However, he personally avoids the stock because he is uncertain about its long-term survivability against generative AI, which he has already started using as a substitute for Adobe's products.

Loading chart...

Sentiment: HOLD

Reasoning: Daniel acknowledges the company's dominant market position and high client retention, but highlights the concerning trend of declining organic revenue and earnings. He does not provide a buy recommendation for himself because the business is currently struggling to generate growth, despite Burry's interest in buying the dip.

Loading chart...