Burry-Linked Disclosures Show Exits from Palantir and Nvidia Put Positions

Investor Michael Burry, best known for his bet against the US housing market ahead of the 2008 financial crisis, has reportedly closed out put option positions in artificial intelligence-linked names Palantir Technologies and Nvidia, according to a recent filing report covered by Yahoo Finance. The move reverses an earlier disclosure that had drawn attention for targeting two of the market’s most prominent technology holdings.

Palantir (NYSE: PLTR), a data-analytics software provider whose platforms are used by government and intelligence customers, saw its shares trade at $170.50, down 0.07% from the previous close of $170.62, giving the company a market capitalisation of roughly $439.7 billion. The stock has been a focal point of debate about the valuation of companies riding enthusiasm for artificial intelligence and defence-sector software spending.

Put options give the holder the right to sell a security at a set price, and are commonly used to express concerns about downside risk — or in some cases, hedged alongside other long positions. Burry’s earlier position in puts on Palantir and Nvidia had been widely interpreted as a high-profile warning about AI-related market concentration. The reported exit means those bets are no longer reflected in his disclosed holdings, though filing timelines mean the details may lag actual trading by weeks.

For Palantir specifically, the development arrives amid continued investor scrutiny of the company’s valuation relative to its software-infrastructure peers. The company, which builds platforms such as Palantir Gotham for government and intelligence clients in the United States, the United Kingdom, and internationally, remains one of the most closely watched names at the intersection of commercial software and public-sector demand.

Filings of this kind move markets primarily because of Burry’s reputation, but analysts routinely caution that 13F-type disclosures offer only a delayed, partial picture — they capture certain positions at a point in time and omit short-term options activity and other strategies. The reversal on the puts underscores how quickly even headline-generating positions can change between reporting dates.

What to watch

• Palantir’s next quarterly earnings report and any updates to full-year guidance.
• Future institutional filings that clarify whether other large investors have adjusted AI-sector option positions.
• Further disclosures from Burry’s firm regarding the reasoning behind the position changes.

Source: original release (finance.yahoo.com)