Michael Burry Predicts Short Squeeze for Build-A-Bear Workshop
Investor Michael Burry revealed a long position in Build-A-Bear Workshop, claiming the retailer is primed for a short-squeeze despite a significant stock price decline in 2026.
Michael Burry issued a bullish outlook for Build-A-Bear Workshop, arguing the toy retailer is positioned for a short-squeeze. While the company's stock price more than halved in 2026 to approximately $25, Burry claims the retailer has "nine lives" and genuine growth potential.
Burry describes a "perfect storm" for the trade, noting that 25% of the float is heavily shorted with nearly nine days to cover. He compares the current market setup to the dynamics seen with meme stocks.
To support his thesis, Burry points to a decade-long effort by Build-A-Bear to refresh its sales strategy. The company currently operates 662 locations across 37 countries, including 129 new sites opened in the last two years via low-capital formats such as wholesale and small-format concourses.
