Investor Michael Burry Takes Short Positions in AI-Focused Oracle and Nebius

Michael Burry announced via a Substack post that he has initiated short positions in Oracle and Nebius, two enterprises riding the AI wave. While preparing a series on AI’s leading players, he likened the firms to oversized fish that have swollen on off-balance-sheet liabilities and costly leases, making them vulnerable. Burry entered the Oracle short at roughly $145 after the stock dropped nearly 60% from its peak, and he took a somewhat larger short in Nebius at about $212 per share.

Oracle’s shares have fallen sharply following concerns about debt from its data-center expansion, while Nebius, despite a nine-fold rise over two years, faces “ton of execution risk.” The investor, known for profiting from the 2000s housing collapse, said his research compelled the bets and hinted he may add more puts if volatility eases. Neither company responded to comment requests.