Burry Takes Aim at Tech Giants with Short Bets on Nvidia, Oracle, and More

Michael Burry, the investor known for his role in the 2008 financial crisis film 'The Big Short', has taken a significant position against several tech stocks. In a recent update on Substack, he revealed that he bought December Nvidia (NVDA) calls as a hedge, despite his overall bearish view of the company.

Burry believes Nvidia's stock price is not congruent with its market narrative and is 'wildly undervalued' due to its low P/E ratio. However, he also thinks that NVDA's monopoly power will soon come to an end, leading to a decline in earnings margins.

In addition to his position against Nvidia, Burry has increased his short bets on Oracle (ORCL), Palantir (PLTR), Nebius (NBIS), and Caterpillar (CAT). His total short stock position now exceeds 21% of his portfolio, excluding puts. He also mentioned that he is adding to positions in Birkenstock (BIRK) and Freddie Mac (FMCC).