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Burry’s $1.1 Billion Put Bet Targets Nvidia and Palantir as AI Highfliers Slip

The disclosure sharpened scrutiny of lofty AI valuations, highlighting the timing risk of put bets.

Overview

  • Scion’s Q3 filing shows about $1.1 billion in put options, with roughly $912 million tied to Palantir and about $186.6 million to Nvidia.
  • Following the reveal, Palantir fell as much as 16% intraday before closing down around 8%, Nvidia eased 2% to 4%, and the Nasdaq logged its steepest one-day drop in nearly a month at about 2%.
  • Palantir CEO Alex Karp blasted the wager as “batshit crazy” after the company beat quarterly estimates and raised guidance.
  • Coverage highlights stretched valuations across AI leaders, with Nvidia valued near $4.7 trillion and analysts divided as Loop Capital maintains a $350 price target.
  • The move coincided with risk-off trading across U.S., Asian, and European markets as major bank chiefs warned about possible market corrections and Burry criticized “circular financing” in AI supply chains.