Michael Burry bets against Tesla, Nvidia in new AI bubble short positions

Investing.com -- Michael Burry, "Big Short" fame investor disclosed on Tuesday that he has opened a new short position against Elon Musk's Tesla, saying he sold the stock short at $416.22 as part of a broader wave of bearish bets against companies tied to artificial intelligence and semiconductors.

The investor, best known for predicting the 2008 housing market collapse, revealed the trade in his Substack newsletter post titled Trading Post June 30, 2026, describing the positions as part of a broader wager against what he views as an increasingly inflated AI and semiconductor market.

Alongside Tesla, Burry said he initiated short positions on Tuesday in Caterpillar Inc (NYSE: CAT) at $1,060.98, NVIDIA Corporation (NASDAQ: NVDA) at $198.09, theiShares Semiconductor ETF (NASDAQ: SOXX) ETF at $642.80, and Applied Materials Inc (NASDAQ: AMAT) at $729.40.

Burry did not disclose the size of the Tesla short or provide details on the position's structure, such as the number of shares, dollar value, or whether it was established using options.

"And finally I shorted Tesla at 416.22. Happy it jumped back to this level," Burry wrote, indicating he initiated the position after the stock's sharp rally.

Tesla shares had closed at $379.71 in the previous session before climbing about 10% on Tuesday, suggesting Burry used the rebound to establish his short position rather than betting against the stock during a decline.

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