“The Big Short” investor Michael Burry, once again, corrected the media on his portfolio and market positions. On Tuesday morning, Burry clarified that despite his scathing critique of Tesla Inc. (NASDAQ:TSLA) in a recent Substack post, he is not currently shorting the stock.
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Burry Sets the Record Straight
In a sharp rebuke posted to X, Burry specifically called out major outlets like Fortune and Bloomberg for misinterpreting his “Cassandra Unchained” newsletter published Monday.
“I never said I was short TSLA in my SS post,” Burry said.
He also took aim at historical reporting regarding his famous 2021 bet against Tesla, which headlines often touted as a half-billion-dollar position.
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“The article also reports on an older $500 million bet. No, it was $5 million. 13Fs and journalists…” he wrote, highlighting how the media often confuses the notional value of options with the actual premium paid.
While he isn’t betting against the stock right now, Burry's fundamental analysis remains brutal. He argues that Tesla's “ridiculously overvalued” market cap is being eroded by “tragic algebra”—specifically, a 3.6% annual shareholder dilution rate with no buybacks to offset it.
He warns this trend is “certain to continue” following the approval of Elon Musk's potential $1 trillion pay package.
"Tesla's market capitalization is ridiculously overvalued today and has been for a good long time," Burry said.
He also mocked the "cult"-like narratives that sustain Tesla's stock price.
“The Elon cult was all-in on electric cars until competition showed up, then all-in on autonomous driving until competition showed up, and now is all-in on robots – until competition shows up.”
Burry shared similar criticism for Palantir Technologies, Inc. (NASDAQ:PLTR), noting the company dilutes shareholders at a 4.6% annual rate and effectively has “no earnings” once stock-based compensation is adjusted.
"Palantir has the distinction of being the first billionaire:revenue ratio greater than one that I have seen. Five billionaires due to stock ownership, and less than four billion in annual revenue," he said.
The math is simple for Burry: even if he isn’t shorting the stock, he views the massive valuations as mathematically impossible.
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