Michael Burry takes aim at Nvidia after its earnings blowout
2 days ago
- #Nvidia
- #AI Bubble
- #Michael Burry
- Michael Burry criticizes Nvidia's AI chip longevity, stock dilution, and 'give-and-take deals'.
- Nvidia reports record revenue and profit, dismissing AI bubble concerns.
- Nvidia's CFO highlights CUDA software extends chip lifespan, ensuring full utilization of older GPUs.
- Burry argues older Nvidia chips are less energy-efficient, increasing costs for users.
- Burry questions the profitability of Nvidia's older chips and the transparency of AI deals.
- Nvidia's stock buybacks and dilution reduce owner's earnings by 50%, according to Burry.
- Burry compares the AI boom to the dot-com bubble, warning of overinvestment risks.
- Scion Asset Management held bearish positions on Nvidia and Palantir, later clarified by Burry.