‘Massive Quick’ Michael Burry fires pictures at main AI inventory

Nvidia (NVDA) simply dished out one other monster quarter, the type that usually has Mr. Market operating out of superlatives.

Income jumped, steerage got here in sizzling, as the corporate however declared that the AI build-out is accelerating at a breakneck tempo.

Nevertheless, with buyers celebrating the obvious breather within the AI storm, a really acquainted voice has stepped again into the dialog.

Scion Asset Administration founder Michael Burry, the unique “Massive Quick,” is again at it, questioning whether or not Nvidia’s explosive progress displays sustainable demand.

In a sequence of posts on X (previously Twitter), Enterprise Insider stories that Burry fleshed out his arguments on the stretched-out depreciation schedules and inflated AI spending estimates. Burry emphasised that “dealer-funded” prospects are masking actual dangers.

Nvidia CEO Jensen Huang argues the increase is way from over, whereas Burry feels we’ve been right here earlier than.

Nvidia’s quarter dazzled Wall Road, however not everybody’s shopping for into the AI-powered story.

Proper on schedule, the market’s most well-known contrarians stepped in to query the power of the story behind these headline numbers.

Nvidia didn’t simply beat expectations; it principally steamrolled them.

The corporate’s newest quarter posted the sorts of numbers that compel Wall Road to calibrate its fashions in actual time successfully. Additionally, earlier than buyers might course of all of it, Nvidia stacked on steerage, which considerably raised the bar.

Associated: Veteran analyst delivers shock post-Q3 verdict on Nvidia

• Income crushed expectations:Q3 income hit $57 billion, up 62% 12 months over 12 months and 22% quarter over quarter, clearing Wall Road’s $54.9 billion bar.

• Income rode the AI surge: EPS got here in at $1.30 (GAAP and non-GAAP) versus $1.26 estimate, spearheaded by 73%+ gross margins.

• Information middle dominated every part: Income within the phase soared to $51.2 billion, coming in at roughly 90% of Nvidia’s whole, led by “off-the-charts” demand for Blackwell programs.

• Steering stored the get together going: Nvidia projected $65 billion in This autumn income, far above the $61-$62 billion consensus, signaling the AI build-out isn’t cooling.

In a number of posts on X, Burry’s skepticism of Nvidia’s record-setting Q3 displaying got here by means of with attribute bluntness.

He argued that Nvidia’s greatest cheerleaders are utterly unaware of the accounting and financial realities which are unlikely to remain hidden endlessly.

He pushed again towards the AI torchbearer’s insistence that prolonged GPU usefulness justifies longer depreciation schedules, saying that mixing up utilization with worth creation finally ends up inflating earnings.

Associated: Legendary billionaire Ken Griffin’s Citadel makes enormous wager on main tech inventory

Furthermore, Burry additionally questioned the general demand image and whether or not it’s as clear-cut as Nvidia claims.

He states that the upper electrical energy prices for older chips and the unusual dynamic the place “prospects are funded by their sellers” suggest that hyperscalers might doubtlessly be propping up one another’s spending.

• Longer depreciation schedules are likely to distort the earnings image.

• AI demand feels overstated and artificially supported.

• Older chips end in greater electrical energy and working bills.

• Business “give-and-take” offers are basically blurring true end-customer demand.

Michael Burry is clearly a one-man military within the investing world.

The favored physician-turned-hedge-fund supervisor grew to become a market legend in entrance of our very eyes by recognizing the mid-2000s housing bubble lengthy earlier than it burst and aggressively shorting subprime mortgage bonds utilizing credit-default swaps.

The wager earned him almost $100 million personally, together with one other $700 to $725 million for his buyers, incomes him the moniker “the Massive Quick” in each monetary circles and popular culture.

Extra Nvidia:

Contained in the house, he has constructed a status of being violently contrarian, enduring brutal drawdowns, whereas rising victorious years later.

After closing Scion Capital, he launched Scion Asset Administration again in 2013.

As of March 2025, the agency, in accordance with WhaleWisdom, was successfully managing a whopping $155 million in regulatory belongings, with $1.3 billion in notional 13F publicity because of “choices.”

By November 2025, although, Burry deregistered the agency, returning exterior capital, suggesting he’s shifting on to “significantly better issues.”

Nevertheless, his newest swing on the 2025 AI bubble dialogue is garnering essentially the most consideration. Earlier in November, Morningstar reported that Scion confirmed off put choices on 1 million Nvidia shares and 5 million Palantir shares, representing over $1.1 billion in mixed bearish publicity, roughly 80% of its Q3 portfolio.

Furthermore, on X, Burry warned that as we speak’s AI capital spending is just like the dot-com-era extra, because of the heightened capex-to-GDP ranges usually seen earlier than main market busts.

Associated: Nvidia, Microsoft deal takes ’round’ financing to thoroughly new stage

This story was initially reported by TheStreet on Nov 22, 2025, the place it first appeared within the Investing part. Add TheStreet as a Most popular Supply by clicking right here.