Michael Burry Holds Put Options Against Nvidia and Palantir Amid Closing His Hedge Fund
Michael Burry, known for his successful short position in the subprime mortgage crisis, has disclosed put options worth an estimated $1.1 billion against tech stocks Palantir (PLTR) and Nvidia (NVDA). These positions were part of his final holdings before closing Scion Asset Management last year. The puts are deep out-of-the-money with limited capital at risk but significant potential upside if the stock prices fall significantly. Burry's strategy mirrors his earlier "Big Short" trade, where he bet against overvalued assets and reaped large rewards when they collapsed in value. He has since shifted to managing personal investments and writing a newsletter on portfolio updates. While some of these put options have already expired or been sold, others with 2027 expirations remain active. The market impact is currently low as the puts are notional in nature and do not directly influence stock prices unless they become in-the-money closer to expiration.
Topics: Michael Burry Nvidia Palantir Technologies Put Options Short Selling