According to the third quarter position report (13F) released by the U.S. Securities and Exchange Commission (SEC) on Monday as of September 30, 2025, the hedge fund manager and big short seller who became famous for shorting the U.S. housing market in 2008 and anticipating the subprime mortgage crisis in advance Towberry bought 1 million shares (US$186 million) of Nvidia put options and 5 million shares (US$912 million) of Palantir put options, accounting for 80% of the fund’s position, with a total nominal value of more than US$1 billion. The actual premium paid, exercise price and expiration date of the option were not disclosed in the document.
After two years of silence, Burry posted on social platforms last week hinting at the AI bubble, with a picture of his character in the movie “The Big Short,” warning, “Sometimes, we see bubbles. Sometimes, we can make a difference. Sometimes, the only way to win is not to participate.” On Monday night, he posted another set of pictures on his account, including charts about concerns about “circular financing” for companies such as Nvidia.
In a recent post, he shared a chart that also showed a sharp slowdown in cloud business growth for Amazon (AMZN.US), Alphabet (GOOGL.US) and Microsoft (MSFT.US). Another chart shows that the current growth level of capital expenditures (capex) in the U.S. technology industry is comparable to the level during the Internet bubble period from 1999 to 2000.
This is not the first time Burry has bet against Nvidia. As early as the first quarter of this year, he liquidated almost all listed stock positions. At the same time, he established bearish positions on Nvidia and Chinese concept stocks before U.S. President Trump provoked a tariff war to roil the global market.
Since the beginning of this year, Nvidia’s stock price has risen by 55%, and its market value has increased by more than 1.6 trillion US dollars. Last week, it made history and became the first company in the world with a market value exceeding US$5 trillion. NVIDIA’s stock price will record increases of 240% and 170% in 2023 and 2024 respectively. Palantir’s stock price soared more than 157% during the year. On Monday, Palantir also raised its full-year revenue forecast.
However, due to the disclosure of Burry’s position, Palantir’s stock price still recorded a drop of more than 10%, and Nvidia’s stock price also fell 2.9% during the session. On Tuesday, the decline continued, with Nvidia ranking second in terms of transaction volume, closing down 3.96%, with a transaction volume of US$37.031 billion. Palantir ranked third in terms of turnover, closing down 7.94%, with a turnover of US$22.72 billion. “Their results are good, but the market is disappointed with the company’s lack of visibility through 2026,” Deutsche Bank strategist Jim Reid said.
