Prior to Nvidia's earnings release, famed investor Michael Burry augmented his short position in the company. Concurrently, as a strategy to hedge against potential risks, he acquired Nvidia call options set to expire in December of this year, with a strike price of USD 200. Burry explained that the expenses incurred from purchasing these call options could be offset by his current short and put option holdings, emphasizing that he was not wagering on a surge in the stock price. He holds the view that Nvidia's seemingly low price-to-earnings ratio might be concealing underlying valuation risks, with his own calculations suggesting that the company's theoretical value is significantly lower than its present market price. Furthermore, Burry expressed concerns that, following Nvidia's expansion in capital expenditures, the company might encounter downward revisions in earnings once the AI investment cycle reaches its zenith. In addition to Nvidia, Michael Burry has also either initiated or amplified his short positions in Oracle, Palantir, Nebius, and Caterpillar, with his short stock positions now constituting over 21% of his investment portfolio (put options excluded).