Michael Burry Swaps MU, NBIS, NVDA, PLTR Shorts For Puts — Says AI Bubble May Burst ‘Sooner Than Later’

• Burry covered his common-stock shorts in MU, NBIS, CAT, SOXX, CRWV, NVDA, and PLTR.
• He replaced the short positions with puts across several names, with many extending into 2027.
• Burry said tax-loss harvesting played a role, but most of the repositioning came after weekend research on the AI bubble.

“The Big Short” investor Michael Burry has repositioned his portfolio after weekend research prompted him to move his timelines forward, replacing his short common-stock positions with put options. He also opened a new short position in MetLife and said most of the repositioning was driven by his belief that the AI bubble may burst “sooner than later.”

Burry Replaces Short Positions With Puts

“As of today, put options completely replaced my short positions,” Burry wrote in a post on Substack.

He said he covered all his short common-stock positions in Micron (MU), Nebius (NBIS), Caterpillar (CAT), iShares Semiconductor ETF (SOXX), CoreWeave (CRWV), Nvidia (NVDA) and Palantir (PLTR).

Burry replaced the Micron short with puts at the June expiry and in the $500 strike price range. He replaced the Nebius short with June puts in the double-digit strike price range, while the Caterpillar short was replaced with December 2027 puts around the $400 strike price.

The iShares Semiconductor ETF short was replaced with September 2027 puts struck in the low $400s.

Burry also replaced and rolled his Palantir short and put position into an enlarged put position concentrated at the September 2027 expiry, with strikes in the low $100s. He replaced the Nvidia short with September 2027 puts at strikes in the mid $100s.

Burry Adds New MetLife Short

Burry said he initiated one new short position in MetLife (MET) “with LEAP puts out several years struck in the $70s.”

He also covered his Oracle (ORCL) short and replaced it with December 2027 expiry puts at strikes in the mid-double digits.

Burry said he covered the CoreWeave short but has “as yet” been unable to acquire puts at an attractive price.

Burry said he folded his QQQ put position into an enlarged and rolled Nasdaq 100 Index put position. The September 2027 strikes are in the $24,000s, he said.

AI Bubble Could Burst ‘Sooner Than Later’

Burry said some of the repositioning was motivated by “tax loss harvesting,” but added that the “majority of it was motivated by research this past weekend.” That research, he said, led him to believe “the bubble in AI may burst sooner than later.”

“Fundamentally, I am moving timelines up,” Burry wrote. “As such, I want more leverage in my short positions.”

He said better timelines make leverage “more palatable” and described put options as a way to achieve that leverage.

MU, NBIS, NVDA, PLTR Stocks: Retail Sentiment

On Stocktwits, retail sentiment for MU and NBIS was “bullish,” with message volume for both stocks being “high.” NVDA had “neutral” retail sentiment and “low” message volume, while the sentiment for PLTR was “bullish” with “normal” message volume.

Year-to-date, MU stock has surged more than 276%, while NBIS shares have gained 175%. NVDA stock has risen 22%, while PLTR shares are up 0.34%.

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