Investor Michael Burry, who famously called the 2008 housing collapse, has placed a multibillion-dollar wager targeting names at the center of the market’s artificial intelligence mania.
The latest 13F filing from the U.S. Securities and Exchange Commission (SEC) shows that Burry’s Scion Asset Management is shorting Nvidia (NVDA) and Palantir (PLTR) by placing put positions to the tune of nearly $1.1 billion.
According to the disclosure, Scion held puts representing more than five million shares of Palantir worth $912.1 million and one million shares of Nvidia worth $186.58 million in Q3 of 2025. The combined value of the bearish positions exceeds $1.09 billion, representing 80% of the firm’s $1.381 billion in assets under management.
Put options give investors the right to sell shares at a preset price, and they typically rise in value when the underlying stock falls. Funds use them to profit from downside or hedge against sharp drawdowns. Burry’s positioning signals either an outright bearish view or preparation for a potential reversal in AI-linked equities.
In a recent post on X, Burry hinted that the AI trade is in a bubble.
“Sometimes, we see bubbles.
Sometimes, there is something to do about it.
Sometimes, the only winning move is not to play.”
He also highlighted the circular nature of deals between AI titans with Nvidia in the middle.
“These aren’t the charts you are looking for. You can go about your business.”
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