US EditionBurry Bets $1.1B Against Nvidia, Palantir in AI Short
Michael Burry bets $1.1 billion on declines in Nvidia and Palantir, citing AI market mania and risks of overvalued tech stocks, echoing concerns of a 1990s-style bubble.
- On Monday, a regulatory filing showed Scion Asset Management bought put options on Nvidia and Palantir, disclosing trades added in the quarter ending September 30.
- Michael Burry returned to X with posts warning that AI enthusiasm may be a bubble, comparing AI spending and tech titans to the dot‑com bubble and writing that `Sometimes, we see bubbles`.
- Scion Asset Management's third-quarter filing lists a 5,000,000-share equivalent put on Palantir worth $912,000,000 and a 1,000,000-share equivalent put on Nvidia valued at $186,600,000.
- Palantir and Nvidia slid after the disclosure, sparking a tech sell‑off this week as Palantir Technologies shares fell 8% and Nvidia 4%, with Alex Karp, Palantir chief executive, denouncing the short position as egregious.
- With Palantir up 174% this year, debate has intensified over whether AI valuations are a bubble, as Nvidia has risen more than 13-fold, raising concerns of a correction in recent weeks.
152 Articles
152 Articles
‘Big Short’ Investor Michael Burry Shut Down His Fund. So Now What?
Warren Buffett once likened Michael Burry to Cassandra, the mythological Trojan priestess who was cursed by Apollo so that her prophecies, while true, would never be believed. The famed “Big Short” investor won big in 2008 after bucking Wall Street and betting against the US housing market. Last week, the bullish AI trade became his latest target. Burry’s plans for his latest prophecy are a mystery, however, as he deregistered his hedge fund. He…
Michael Burry doubles down against ‘AI bubble’ with billion-dollar shorts; revives dot-com era memories
Michael Burry of The Big Short fame has argued that Wall Street is underestimating the extent to which reported profits in AI-heavy firms are being lifted by adjustments to depreciation schedules.
Nvidia cracks the 5-billion mark and "Big Short" investor Michael Burry sets a billion dollars against AI giants. Experts warn of parallels to the dotcom bubble.
Michael Burry, who became famous for anticipating the 2008 subprime crisis, bet more than a billion dollars on the fall of the giants of artificial intelligence Nvidia and Palantir.
The American investor, famous for anticipating the subprime crisis in 2008, bet $1.1 billion on the fall of the shares of Nvidia and Palantir, convinced that the bubble of the AI is about to burst.
Fears of an AI bubble are fueled by investor warnings and a high-profile short sale. But AI company CEOs are counterattacking as stocks shake. “The idea is wildly crazy,” says Palantir CEO Alex Karp.
Coverage Details
Bias Distribution
- 43% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
