Michael Burry Maintains Bearish Position on Palantir Amid Presidential Endorsement

Investor Michael Burry, known for his role in predicting the 2008 financial crisis, has reaffirmed his bearish stance on Palantir Technologies. In a recent Substack post, Burry disclosed that he holds long-dated put options on the artificial intelligence software firm, specifically the June 17, 2027, strike price $50 puts and the December 19, 2026, strike price $100 puts. He stated, "I am not selling these today."

Burry's comments followed a Truth Social post by President Donald Trump, who praised Palantir's capabilities, stating that the company "has proven to have great warfighting capabilities and equipment." This endorsement led to a temporary rebound in Palantir's stock, which had been experiencing a decline. Despite the brief uptick, the stock remains down approximately 28% for the year.

Burry expressed skepticism about the company's valuation, noting that while the stock may experience short-term rallies, he believes its fundamental value is well below its current trading price. He remarked, "The stock may catch a wind here... I continue to hold the puts, as I believe the fundamental value of this company is well under $50/share." As of Friday, Palantir's stock was trading around $127 per share.

Palantir has been securing new government contracts and deepening its work with the Pentagon during Trump's second administration. CEO Alex Karp has maintained regular engagement with the administration despite earlier tensions. In late 2025, Burry's former hedge fund, Scion Asset Management, disclosed bearish positions against Palantir and AI company Nvidia, prompting a sharp reaction from Karp, who called Burry's wagers "super weird" and "batsh-- crazy."