Burry Doubles Down on Nvidia Bearish Bet Despite Calling It Undervalued
Nvidia NVDA reported another blockbuster quarter, but Michael Burry is still betting against the AI leader. Despite calling Nvidia wildly undervalued based on conventional metrics, Burry's larger bearish position remains unchanged.
Burry added to his Nvidia short ahead of fiscal second-quarter results, with put options representing roughly 3.5% to 4% of his portfolio. He also bought December call options as a hedge against his bearish position.
The investor's theoretical value for Nvidia remains much lower than today's market value, reflecting concerns that the company's AI dominance, pricing power, and margins could eventually weaken.
Burry has increased bearish exposure to several other stocks, including Oracle ORCL, Palantir PLTR, Nebius NBIS, and Caterpillar CAT. His Nvidia bet is part of a broader skepticism toward the durability of the AI capital-spending boom.