Michael Burry Increases Bearish Position Against Micron Amid AI Demand Debate
On July 24, Michael Burry disclosed on his Substack that he has increased his short position in Micron Technology (MU), adding to a broader bearish stance across the semiconductor sector. The move comes as MU closed at $920.95 after dropping nearly 7% for the session. Alongside expanding shorts in Micron, Burry also added positions against Nvidia and SOXX while maintaining bets on Tesla and Palantir. Burry's argument centers around a structural concern regarding AI demand: he claims that much of it is not driven by end customers but rather financed off-balance sheet through circular arrangements. He cites the 2026 Bank for International Settlements annual report to support his view, suggesting current revenue expectations may be unsustainable. Despite Burry's bearish stance, Micron has delivered strong financial results recently, including record Q3 fiscal 2026 earnings and a cash balance of $30.2 billion. The company also guided for continued growth in the next quarter.
Topics: AI demand thesis Michael Burry Micron Technology (MU) semiconductor sector