"Big Short" Michael Burry warns: Jensen Huang's departure could weaken Nvidia's competitiveness, investors should sell the stock as soon as possible

Michael Burry, the investor made famous by “The Big Short,” warned that investors should exit Nvidia (NVDA) before it is too late, arguing that CEO Jensen Huang’s eventual departure could prompt customers to slow purchases, renegotiate contract terms, or defect to competitors. Burry also questioned Nvidia’s use of special purpose entities and hidden debt to help finance customer purchases, which he said has built up leverage risk across the industry. He further claimed that Huang used pressure over future chip allocations to pull forward customer orders, making that demand potentially unsustainable. Burry expects Nvidia’s revenue growth to slow and margins to come under pressure, and reiterated his call for bullish investors to sell. The warning matters because it challenges the demand durability and earnings quality underpinning Nvidia’s valuation; investors will watch upcoming order trends, customer financing arrangements, and margin guidance for confirmation.