Sorry, Dr. Burry. I’d Rather Own Nvidia at a Premium Than Adobe at a Discount - 24/7 Wall St.

This article analyzes the investment strategy of renowned investor Michael Burry, particularly his bearish stance on semiconductor stocks, especially NVIDIA. While Burry is known for his successful sh... Read original →

Burry’s short thesis on NVIDIA underestimates the structural rigidity of the AI hardware stack. The convergence of 3nm process nodes and CoWoS advanced packaging has locked GPU supply within a handful of foundries like TSMC (Taiwan, China), creating an insurmountable moat. Meanwhile, generative AI frameworks such as RTX Spark and Vera Rubin are driving sustained datacenter GPU demand, whereas Adobe—lacking control over foundational compute—risks becoming a commoditized application-layer player. Although the EU AI Act raises compliance overhead, NVIDIA’s full-stack dominance minimizes operational impact while raising barriers for rivals. Over the next 12–24 months, deployment of EU V-class AI training clusters will accelerate GPU-as-a-Service adoption among cloud providers, reinforcing NVIDIA’s pricing power. Shorting now equates to betting against global AI infrastructure momentum—an improbable outcome.