Disclosed Put Positions Tied to Nvidia and Palantir Draw Fresh Attention to Investor’s Final Fund Filing

Regulatory disclosures filed by investor Michael Burry shortly before he wound down his hedge fund have resurfaced in market commentary, after filings showed put option positions with a notional value estimated at roughly $1.1 billion against chipmaker Nvidia and software company Palantir Technologies. The disclosure has prompted renewed discussion of how large derivative positions against prominent technology names are interpreted by the wider market.

Put options give the holder the right, but not the obligation, to sell a security at a set price, and are often used either to speculate on declines or to hedge existing exposure. It is worth noting that the notional value of options contracts — the value of the underlying shares they reference — is typically far larger than the actual premium paid, so headline figures like the one in these filings can overstate the capital actually committed.

Palantir, the Denver-headquartered data analytics firm, builds software platforms used by government and intelligence customers, including work connected to counterterrorism analysis in the United States and the United Kingdom. The company’s shares were trading at $170.50 in recent activity, down 0.07% from the prior close of $170.62, giving it a market capitalisation of approximately $439.7 billion. Classified in the technology sector under software-infrastructure, Palantir has been among the most closely watched defence-adjacent software names as investor interest in artificial intelligence-linked companies has intensified.

The renewed attention on Burry’s filing comes amid broader debate about valuations across AI-exposed equities, a group that includes both companies named in the disclosure. Analysts frequently caution that a single investor’s option positions reflect one manager’s strategy and risk profile rather than a consensus view, and that disclosed holdings are a snapshot that may not reflect current positioning — particularly in a fund that has since been closed.

For Palantir specifically, the disclosure landed during a period of elevated retail and institutional interest in the stock. The company’s platforms, including its Gotham offering, integrate with other government and commercial systems, and its results have become a reference point for investors tracking defence-technology spending trends. Market reaction to third-party option disclosures has historically been limited unless accompanied by changes in fundamentals, guidance, or contract flow.

Nvidia, the other company referenced in the filing, is not a defence pure-play but its processors underpin much of the computing infrastructure used across the AI sector, making both names frequent subjects of valuation debate.

What to watch

• Palantir’s upcoming quarterly earnings report and any updates to full-year guidance
• New institutional ownership filings (13F) that show how other large holders have adjusted positions
• Announcements of government or commercial contract awards affecting revenue visibility
• Options market activity around the shares in coming expiry cycles

Source: original release