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Michael Burry Challenges AI Valuations Amid Profit Inflation Claims

11/13/2025

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Summary

Story summary

Michael Burry, known for The Big Short, accuses Oracle and Meta of inflating profits by understating depreciation on AI assets, potentially misrepresenting earnings by $176 billion for 2026–2028.
He is bearish on AI stocks and holds Palantir and Nvidia puts, prompting Palantir CEO Alex Karp to dismiss his views as 'batshit crazy'.
The debate reflects concerns about whether the AI boom is a bubble, with opposing views on valuation sustainability.

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Story summary

Michael Burry, known for The Big Short, accuses Oracle and Meta of inflating profits by understating depreciation on AI assets, potentially misrepresenting earnings by $176 billion for 2026–2028.
He is bearish on AI stocks and holds Palantir and Nvidia puts, prompting Palantir CEO Alex Karp to dismiss his views as 'batshit crazy'.
The debate reflects concerns about whether the AI boom is a bubble, with opposing views on valuation sustainability.