Michael Burry, the investor made famous by The Big Short, disclosed a new short position against Elon Musk’s Tesla on Tuesday. Burry said he shorted Tesla stock at $416.22 as part of a wider bearish strategy targeting artificial intelligence and semiconductor companies.
Michael Burry Bets Against the AI Boom
Burry is best known for predicting the 2008 housing market crash. He revealed his latest trades in a Substack newsletter titled Trading Post June 30, 2026.
According to Burry, the new positions reflect his belief that valuations across the AI and semiconductor industries have become increasingly inflated.
Tesla and Nvidia Among Burry’s New Short Positions
Tesla was not the only company targeted by the prominent investor. Burry also disclosed short positions in several major industrial and semiconductor-related assets.
He said he opened bearish positions in Caterpillar Inc. (NYSE: CAT) at $1,060.98, Nvidia Corporation (NASDAQ: NVDA) at $198.09, the iShares Semiconductor ETF (NASDAQ: SOXX) at $642.80, and Applied Materials Inc. (NASDAQ: AMAT) at $729.40.
These trades suggest that Burry is betting against a broader market rally driven by enthusiasm surrounding AI, chips, and related infrastructure.
Details of the Tesla Short Remain Unknown
Burry did not reveal the total size of his Tesla short position. He also provided no information about the number of shares involved, the position’s dollar value, or whether he used options to place the trade.
However, he confirmed that he entered the position after Tesla shares returned to the $416 level.
Burry said he was pleased that Tesla had climbed back to that price, indicating that the sharp rebound gave him an opportunity to establish the short position at a higher valuation.
Tesla shares closed the previous trading session at $379.71 before rising by approximately 10% on Tuesday.
The timing suggests that Burry used Tesla’s strong recovery to open his bearish position. Rather than shorting the stock during a decline, he waited for the rally to push shares back above $416.
The move adds Tesla and Nvidia to Burry’s growing list of bearish bets as he challenges the market’s enthusiasm for artificial intelligence and semiconductor stocks.
