Key Takeaways
- Michael Burry closed out his December 2026 put options on Nvidia and Palantir and chose not to establish new positions
- The investor revealed he reduced risk exposure in September and is content holding cash while monitoring market developments this fall
- Lululemon, Molina Healthcare, and MercadoLibre continue to be his top three long holdings
- Oracle, Palantir, and Nebius lead his short book, with Nvidia and the iShares Semiconductor ETF also among his top five shorts
- He reduced exposure across both long and short positions but maintained the relative ranking order of his portfolio
Michael Burry, the renowned investor who famously anticipated the 2008 financial crisis, announced on Wednesday that he’s scaling back risk throughout his investment portfolio.
In a Substack update, Burry disclosed that he decreased risk exposure during September. He indicated he’s now holding cash reserves that he’s “happy to sit on” as he observes market conditions evolve throughout the fall months.
He remarked: “This will be an interesting market this fall.”
Burry Closes December 2026 Puts on Nvidia and Palantir
Burry completely liquidated his December 2026 put option positions on Nvidia and Palantir. He explained the decision was motivated by the desire to avoid accelerated theta decay on these contracts.
Notably, he chose not to extend these positions by rolling them into contracts with later expiration dates. This indicates he no longer maintains these particular bearish positions.
That said, this doesn’t represent a complete abandonment of his pessimistic outlook. Burry continues to hold 2027 puts on Palantir as well as the Invesco QQQ Trust Series 1 ETF.
Additionally, he maintains short positions across multiple technology, semiconductor, and artificial intelligence companies.
After the announcement, Palantir shares declined 0.2% during morning trading. Nvidia stock fell 0.5%.
On Stocktwits, retail investor sentiment surrounding Palantir stayed in bearish territory. Nvidia sentiment shifted from neutral to bearish.
Core Long and Short Holdings Maintain Their Rankings
While Burry reduced the size of his long positions, he confirmed that the fundamental hierarchy of his holdings by position size remains intact.
Lululemon continues as his top long position, which he characterized as a “fat pitch” in a recent update. Molina Healthcare and MercadoLibre occupy the second and third spots respectively.
His complete long portfolio additionally encompasses Zoetis, Sprouts Farmers Market, JD.com, Adobe, PayPal, Fiserv, Flutter Entertainment, Fannie Mae, Freddie Mac, Veeva Systems, and Build-A-Bear Workshop.
Regarding short positions, Oracle maintains its position as his largest bearish bet. Palantir and Nebius Group come next. Nvidia and the iShares Semiconductor ETF complete his top five short holdings.
Additional companies in his short portfolio include Micron Technology, Caterpillar, and CoreWeave.
Burry decreased the size of these short positions as well but didn’t completely close them or change their relative order.
He also mentioned he’s monitoring the renewed decline in the Dollar Spot Index and intends to discuss currency market dynamics in an upcoming post.
Burry’s recent portfolio adjustments arrive as financial markets enter what he characterized as an “interesting” autumn period, with the investor opting to decrease his market exposure instead of establishing new positions currently.
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