Overview
- A new 13F filing shows Scion Asset Management bought put options totaling roughly $1.1 billion in Q3 2025, including about $912 million on Palantir and $186 million on Nvidia.
- The put positions represented a large share of Scion’s portfolio as of Sept. 30, with reporting placing the exposure at roughly 80%.
- Markets sold off following the disclosure, with Palantir dropping as much as 16% intraday before closing down about 8%, Nvidia falling 2% to 4%, and the Nasdaq off roughly 2%, with weakness extending to Asian and European indices.
- Palantir CEO Alex Karp publicly blasted the short, while Nvidia’s Jensen Huang said he does not see an AI bubble.
- Coverage highlighted elevated valuations—Palantir near a 115 price-to-sales ratio and triple-digit P/E, Nvidia around 53 times earnings—as Wall Street leaders cautioned about potential 10% to 20% market corrections and analysts flagged “circular financing” in AI deals.