‘Big Short’ Investor Michael Burry Urges Sale of Nvidia Stock, Warns of Slowing Growth
Summary
- Michael Burry reportedly warned that Nvidia’s growth could slow and urged investors to sell the stock.
- Burry said the departure of former Nvidia CEO Jensen Huang could hurt the company’s growth prospects and profitability.
- He said Huang’s departure could disrupt Nvidia’s financing structure, raising the risk of reduced investment and lower profit margins, and stressed: “Get out.”
Forecast Trend Report by Period
Michael Burry, the investor known as the real-life figure behind “The Big Short,” warned that Nvidia’s growth could slow and urged investors to sell the stock.
Business Insider reported on November 13 that Burry wrote on Substack that Nvidia’s growth prospects and profitability could weaken following the departure of former Nvidia Chief Executive Officer Jensen Huang.
“There will be another chance for Nvidia bulls to get out,” Burry wrote. “Get out.”
He said Huang had driven Nvidia’s growth through large-scale investments in artificial intelligence companies and a financing structure that supported customers’ semiconductor purchases.
Burry added that Huang’s departure could unsettle that financing structure, reducing investment and hurting profitability. Nvidia’s business itself is not disappearing, he wrote, but its growth could slow and profit margins could decline.
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