By Rounak Jain
Publication Date: 2026-02-26 16:09:00
Burry pointed out that there has been a surge in Nvidia’s purchase obligations, which rose to $95.2 billion at the end of the fourth quarter, compared to $16.1 billion a year ago.
- Burry drew parallels to Cisco securing large supply commitments in 2000 and 2001, noting that when demand tumbled, the company was left with excess inventory.
- Nvidia’s Chief Financial Officer, Colette Kress, stated in a post-earnings call with analysts that the company’s inventory has increased 8% quarter-on-quarter.
- Burry noted that Nvidia’s comments imply that the company is committing to purchase large amounts of supply before knowing how strong future demand could be.
Michael Burry on Thursday warned that Nvidia Corp.’s (NVDA) “purchase commitments” are akin to the ones announced by Cisco Systems Inc. (CSCO) at the top of the dot-com bubble.
According to a CNBC report citing Burry’s latest Substack newsletter, “The Big Short” investor pointed out that there is a surge in Nvidia’s…
