Michael Burry Adds to Micron, Nvidia Shorts Over AI Financing

Scion Asset Management, founded by investor Michael Burry of “The Big Short” fame, has recently warned of a valuation bubble surrounding the AI boom and semiconductor industry. As shares of Nvidia and other technology giants surged, global capital flowed out of Hong Kong in pursuit of chip stocks, pushing Hong Kong equity valuations to historic lows. Burry believes the semiconductor rally driven by Japan, South Korea and AI memory chips is nearing its peak. As their allure fades, he expects capital to return to undervalued Hong Kong stocks.

According to Scion Asset Management’s latest positions, disclosed on July 8, 2026, Burry further increased his stake in JD.com, raising its cost basis to $27.58 per share and making it one of the firm’s three largest holdings. He also established short positions in semiconductor stocks, including SOXX put options with a $330 strike price expiring in January 2027, while separately shorting Nvidia and Applied Materials in a bet that the chip-stock bubble will burst.

Michael Burry, the contrarian investor portrayed in “The Big Short,” has long been known for betting against prevailing market trends. His latest target is memory-chip giant Micron, extending his argument that AI stocks are overvalued and will ultimately form a bubble. The move has also focused market attention on whether semiconductor industry conditions and share prices have become detached from fundamentals.

As of July 20, 2026, event data showed that Burry had established a short position in Micron, citing the stock’s excessive divergence from its moving average and weak fundamentals. He had previously shorted Nvidia and Applied Materials. However, the available data did not disclose when the position was opened, the number of shares sold short or its value, leaving the scale of his actual exposure unclear.