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Burry’s Billion-Dollar Bet Against Nvidia and Palantir Rocks AI Stocks Before a U.S. Rebound

Quarter-end disclosures of large put options revived the AI-bubble debate.

Overview

  • Scion’s 13F shows Q3 put positions equal to about 1 million Nvidia shares (~$187.6 million) and 5 million Palantir shares (~$912 million), with holdings reported as of Sept. 30 and potentially updated since.
  • Tech shares swooned on Nov. 4 after the filing surfaced, with Palantir down nearly 8% and Nvidia about 4% as the Nasdaq fell roughly 2% and the S&P 500 slipped 1.2%.
  • The selloff extended to Asia and Europe on Nov. 5, then U.S. markets partially recovered, with the Nasdaq and S&P 500 moving higher early and Nvidia edging up as Palantir underperformed.
  • Palantir CEO Alex Karp criticized the bearish bets on CNBC, calling shorting the companies “batsh‑t crazy” and asserting the targeted firms are producing profits.
  • Scion also disclosed call options on Pfizer and Halliburton and a concentrated set of eight reported positions, as Goldman Sachs and Morgan Stanley chiefs cautioned about potential 10%–20% equity drawdowns.