Palantir's CEO Calls Out Michael Burry: Is He Right, or Just Sweating?
Okay, so Palantir's CEO, Alex Karp, is calling Michael Burry "bats--t crazy" for shorting his company and Nvidia. My first thought? Pot meet kettle. I mean, Karp's known for being, let's say, eccentric. But let's get real for a second.
Burry, the guy who predicted the 2008 crash, is betting against the AI darlings. Palantir and Nvidia. Combined, it's a $1.1 billion bet. That's not chump change. And Karp's response? Accusations of market manipulation. Seriously?
Karp's Rant: Is It Justified?
Karp told CNBC that Burry's basically shorting AI itself. That's a pretty bold statement. He even throws in the "ethical" card, accusing Burry of shorting "one of the great businesses of the world." Give me a break. Palantir? Great? They're making money sure but great is a stretch.
He also says Palantir delivered "the best results anyone's ever seen." Hyperbole much? I mean, their stock did jump 170% this year, but let's not pretend they're curing cancer here. They're selling AI software, mostly to governments. Which, offcourse, raises its own ethical questions, doesn't it?
Then there's the accusation that Burry's just trying to cover his tracks. "It's probably just, 'How do I get my position out and not look like a fool?'" Karp says. Projecting much? It sounds like Karp's the one who's worried about looking like a fool if Palantir's bubble bursts.
And speaking of bubbles... Palantir's trading at over 300 times projected 2025 earnings. Does that sound sustainable to anyone?
The "Big Short" vs. The "Big Talker"
Burry, in classic Burry fashion, declined to comment directly. Instead, he cryptically tweeted, "Sometimes, we see bubbles. Sometimes, there is something to do about it. Sometimes, the only winning move is not to play." Translation: "I think this whole thing is overvalued, and I'm betting it all comes crashing down."
Karp, naturally, mocked Burry's caution. But who's being more rational here? The guy who made a fortune betting against the housing market, or the CEO whose company's stock is priced like it's made of unicorn tears?
Look, I get it. Karp has to defend his company. But his histrionics aren't exactly reassuring. It makes you wonder if he's got something to hide. Or at least, something to worry about.
Here's the real question: Is Burry actually right? Is the AI boom overhyped? Are Palantir and Nvidia due for a correction? Or is Karp just protecting his investment? And let's be honest, could it be that this whole spat is just a carefully orchestrated PR stunt to keep Palantir in the headlines? According to a recent article, Palantir CEO Alex Karp went as far as to call Michael Burry "bats--t crazy" for betting against his company; Palantir CEO Alex Karp blasts ‘Big Short’ investor Michael Burry for bet against his company: ‘Bats–t crazy!’.
Maybe I'm missing something. Maybe Karp is a visionary, and Burry is just a grumpy old man yelling at the AI cloud. But something about this whole thing smells fishy.
So, What's the Real Play Here?
Honestly, this whole thing feels like two billionaires having a pissing contest. Burry's betting against the future, and Karp's betting against Burry. And we're all just sitting here watching the fireworks. The smart money is probably on "both of them are right, to some extent." The AI hype is real, but valuations are insane. It's a recipe for volatility, and someone's gonna get burned.