In the first quarter, Dr. Michael Burry and his fund Scion Asset Management sold almost their entire portfolio, avoiding a market sell-off. Burry is now taking contrarian positions on two stocks that have plummeted this year, showing a bullish stance in the second quarter.

UnitedHealth, the largest healthcare insurer in the U.S., has struggled this year, with the stock down nearly 41%. The company underestimated medical costs, resulting in lower earnings projections. Hedge funds like Scion, led by Burry, have bought shares, betting on a recovery.

Lululemon, a luxury exercise brand, has faced challenges, causing its stock to drop by almost 47%. Despite headwinds, Burry purchased shares in Q2, believing that the brand’s strong balance sheet and brand can overcome near-term obstacles.

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Read more at Nasdaq: After Nearly Dumping His Entire Portfolio, “The Big Short’s” Michael Burry Just Bought 2 Abandoned Stocks Down at Least 40% This Year