Michael Burry Is Short Nebius and Palantir. Both Are Now Soaring and His Short Thesis Looks Broken.
Shares of Nebius Group (NBIS) rose 34% to $259.20 after its Q2 2026 report, which included $582.3M revenue (+454% YoY), AI Cloud revenue up 514%, a $3B annualized run-rate, and a raised 2026 contracted power target to 5 GW. The article also cites Palantir (PLTR) Q2 results and guidance, and discusses Michael Burry’s disclosed short theses.
How this was made
The 30-second read
Why it matters
Nebius’s Q2 blowout and disclosed pricing initiatives, plus Palantir’s commercial growth and guidance raise, are presented as direct counterevidence to the short arguments. CoreWeave’s multi-year A100 contract disclosure is used as additional support for longer-lasting GPU economics.
Market read
Traders get near-term catalysts from Q2 earnings and guidance raises for Nebius and Palantir, plus a sector read-through from CoreWeave’s contract-duration disclosure.
What to watch
The article flags payback improvements and contract duration, but does not quantify margins, churn, or customer concentration, which are key to validating the economics behind the short thesis.
Background
The piece frames Michael Burry’s disclosed short theses in Nebius and Palantir and argues that recent earnings disclosures weaken the core “faster GPU depreciation” bear case.
Ticker impact
Nebius shares jumped 34% after Q2 results, with AI Cloud revenue up 514% and new Q3 pricing initiatives signed this week.
Near-term upside momentum likely persists if the stock holds gains into next week; downside risk remains from heavy capex and net losses.
The article cites specific Q2 financials, raised contracted power target, and management quotes on auction/short-term capacity deals and payback period improvement.
Palantir reported Q2 revenue up 92.8% YoY, beat EPS, and raised FY26 revenue guidance to $8.15B-$8.16B.
Stock may remain bid while traders digest the guidance raise and continued EPS beat streak.
The article provides concrete beats and guidance numbers plus a specific U.S. commercial revenue growth figure (149% YoY).
CoreWeave stock rose 19% as it disclosed A100 contracts being signed through 2029 on its earnings call.
Positive read-through to GPU-economics narratives could support further strength, but volatility remains high.
The article uses CoreWeave as a counterexample; it does not provide full financial detail beyond the contract-duration claim and same-day move.
NVIDIA gained 3% in the same story as the article links longer A100 contract economics to the neocloud debate.
Likely modest support from sector sentiment rather than a company-specific catalyst beyond the narrative link.
The article does not report a new NVIDIA-specific event, only a same-day price move and contextual linkage.
Market effects
Repricing of GPU-depreciation economics narrative for AI cloud infrastructure, potentially lifting sentiment across AI compute and capacity providers.
Primarily US-listed growth/AI complex; no explicit regional macro linkage in the text.
AI infrastructure demand and GPU contract duration are globally relevant, but the article provides no non-US-specific data.
Counterpoint
Despite the pricing-power narrative, capital intensity and net losses could still force multiple compression if growth does not translate into durable free cash flow.
Key entities
- companyNebius Group
Reported Q2 2026 revenue surge, raised contracted power target, and disclosed new pricing initiatives and payback improvements.
- companyPalantir Technologies
Reported Q2 revenue and EPS beat, strong U.S. commercial growth, and raised FY26 revenue guidance.
- companyCoreWeave
Disclosed A100 contracts being signed through 2029 on its earnings call, challenging the depreciation premise.
- companyNVIDIA
Referenced as the GPU supplier behind the AI infrastructure buildout; stock rose on the broader narrative.
- ETFFirst Trust Cloud Computing ETF
Mentioned as a basket proxy for cloud-segment momentum.
