‘The Big Short’ Investor Michael Burry Bet $10 Million That AI Stocks Will Crash By 2027
The hedge fund manager famous for predicting the 2008 housing crash is warning investors about Nvidia and Palantir.
Michael Burry, immortalized by Christian Bale in The Big Short, revealed bets against Nvidia and Palantir worth about $10 million, The Wall Street Journal reported.
His wager pays off if Nvidia drops 37 percent to $110 by 2027 (it’s around $190 now) and Palantir falls to $50 from roughly $200. Burry announced his AI prediction in his new Substack newsletter.
He argues the AI market has “detached from reality,” comparing it to the dot-com bubble. He also compares Nvidia to Enron, saying the company is using tactics that exaggerate chip life expectancy and accounting to inflate earnings.
Is he correct? Although Burry made $700 million betting against the housing market before the 2008 crash, many of his predictions over the past 15 years have not panned out.
Michael Burry, immortalized by Christian Bale in The Big Short, revealed bets against Nvidia and Palantir worth about $10 million, The Wall Street Journal reported.
His wager pays off if Nvidia drops 37 percent to $110 by 2027 (it’s around $190 now) and Palantir falls to $50 from roughly $200. Burry announced his AI prediction in his new Substack newsletter.
He argues the AI market has “detached from reality,” comparing it to the dot-com bubble. He also compares Nvidia to Enron, saying the company is using tactics that exaggerate chip life expectancy and accounting to inflate earnings.
Is he correct? Although Burry made $700 million betting against the housing market before the 2008 crash, many of his predictions over the past 15 years have not panned out.
