Michael Burry has disclosed a new short position against Tesla, shorting the stock at $416.22 on Tuesday. The move by the investor famously profiting from the 2008 housing collapse signals a bearish view on the electric-vehicle maker's valuation.
Burry's bet is one piece of a broader basket of new shorts placed against what he describes as an inflating AI and semiconductor bubble. The disclosure highlights growing skepticism among some hedge fund managers about the sustainability of tech-driven market rallies.
The short position targets Tesla at a specific entry price, but the trade's size and expected duration remain undisclosed. Regulatory filings only require quarterly snapshots, leaving the full scope of Burry's strategy opaque.
Market reaction to the news has been muted, with Tesla shares trading near the short price. Analysts remain divided: some argue the company's energy and autonomous-driving divisions justify a premium, while others see the stock as overextended.
Critics of Burry's short note that he has previously taken high-profile bearish positions that took years to pay off—or never did. The broader AI and semiconductor sectors continue to attract substantial capital, supporting current valuations despite bearish bets.