Michael Burry Maintains Bearish Stance on AI Stocks Despite Market Gains
In August 2026, Michael Burry's bearish bets against several key artificial intelligence (AI) stocks faced significant losses as the market continued to rally. Palantir Technologies surged by over 51%, while Nvidia and Micron also posted strong gains of around 8% and 13.3%, respectively. Despite these setbacks, Burry doubled down on his positions rather than backing away. Burry's long-term skepticism centers on the idea that current valuations for AI companies assume near-perfect execution indefinitely with little room for error or missteps. He compared this market optimism to pre-2008 housing bubble conditions in 2005, suggesting a similar correction may be coming eventually. While most of his short positions lost value during the month, Burry continued adding new shorts against companies like Oracle and Nebius, expanding his bearish bet beyond previously highlighted names.
Tickers: $MU $NVDA $ORCL $PLTR