Scion Asset Management’s founder discloses short positions in Nvidia and related AI stocks before fiscal Q2 results.
Michael Burry has taken short positions in Nvidia and other AI-related stocks ahead of the company’s fiscal Q2 2027 earnings report on August 26. The trades include Nvidia, Micron Technology, Oracle, Nebius, the iShares Semiconductor ETF, and the Invesco QQQ Trust, covering the AI capital expenditure ecosystem from GPUs to cloud services.
Nvidia’s stock closed at $214.72 on Friday, valuing the company at approximately $5.2 trillion with a trailing P/E of 33. Last quarter, Nvidia reported $81.61 billion in revenue, an 85.23% year-over-year increase, with Data Center revenue reaching $75.25 billion and a non-GAAP gross margin of 75.0%. Management guided Q2 revenue to $91.0 billion.
Burry’s move signals skepticism toward the AI trade’s valuation and growth sustainability as the sector faces heightened expectations.