Michael Burry Questions SpaceX's Trillion-Dollar Valuation and Maintains AI Short Position
Michael Burry (the successful short-seller of the 2008 financial crisis) stated that there is nothing in SpaceX's S-1 filing to support its valuation of $1 trillion or even $2 trillion, and any rise in stock price will be based on speculation and technical factors.
Since 2025, Burry has held approximately $1.1 billion in AI short positions, including $912 million in Palantir (PLTR) put options and $187 million in Nvidia (NVDA) put options, continuing to express skepticism about the high valuations in the AI sector.
This viewpoint highlights Burry's caution regarding the current tech/space/AI bubble, prompting some investors to focus on fundamentals and risk exposure.
Source: Public Information
ABAB AI Insight
Michael Burry has publicly questioned tech valuations multiple times since 2020 through Scion Asset Management, having previously successfully shorted the housing market and established positions against the AI sector in 2025. He has earlier disclosed his bearish stance on high-valuation companies like PLTR and NVDA through Substack and 13F filings, continuing his value investing and anti-bubble strategy.
In terms of capital strategy, Burry is hedging and amplifying his bets against the AI bubble through put options, guiding funds from high-valuation growth stocks to defensive or value assets, while leveraging his personal influence to amplify the narrative. The Scion fund captures asymmetric returns amid volatility and builds reputation for long-term capital accumulation.
Similar to Burry's precise judgments before the 2008 subprime crisis and his shorting of tech stocks during the 2000 dot-com bubble, he is currently active in identifying and positioning against the AI/tech valuation bubble.
Essentially, this represents capital concentration: voices like Burry's against bubbles accelerate the flow of capital from speculation-driven AI/space projects to fundamentally supported assets, restructuring market pricing power towards long-term investors who focus on cash flow, profitability, and risk control, while reinforcing industry differentiation amid high-valuation corrections.