03:38 PM EST, 11/04/2025 (MT Newswires) -- Palantir Technologies ( PLTR ) and Nvidia ( NVDA ) shares were falling Tuesday as a filing showed that investor Michael Burry placed bearish bets on the two tech stocks that have rallied this year on the back of an artificial intelligence-driven boom.

In a Monday regulatory filing, Burry's hedge fund, Scion Asset Management, disclosed put options with a notional value of about $912.1 million against Palantir ( PLTR ) and $186.6 million against Nvidia ( NVDA ) as of Sept. 30.

Burry predicted the subprime-mortgage bubble burst that triggered the 2008 financial crisis. The Wall Street Journal reported that his predictions, however, haven't always been right since then.

A put option, which gives the holder the right to sell, becomes more valuable as the underlying security's price decreases.

Palantir ( PLTR ) shares slumped 9.3% in Tuesday late-afternoon trade, while Nvidia ( NVDA ) fell 3.8%. So far this year, the stocks have soared 150% and 48%, respectively.

Investors have bet big on AI names, driving tech valuations higher, though some analysts are concerned that the AI spending boom may be a bubble.

Palantir's ( PLTR ) forward price-to-earnings multiple is above 200, Saxo Bank said in a note published Tuesday.

"That is rare territory in the S&P 500," Saxo Investment Strategist Ruben Dalfovo wrote. "At those levels, even strong quarters can meet cool receptions."

Late Monday, Palantir ( PLTR ) posted stronger-than-expected third-quarter results as the software maker's US sales soared.

Palantir ( PLTR ) Chief Executive Alex criticized Burry in an interview with CNBC.

"The two companies he's shorting are the ones making all the money, which is super weird," Karp reportedly said Tuesday. "It's not even clear he's shorting us," CNBC quoted Karp as saying. "It's probably just, 'How do I get my position out and not look like a fool?'"

Late last month, Nvidia ( NVDA ) agreed to invest $1 billion in Finnish telecommunications giant Nokia ( NOK ) , while the two companies announced collaborations to develop next-generation cellular technology and AI networking solutions. Nvidia ( NVDA ) has recently announced planned investments in other several companies, including Intel ( INTC ) and Microsoft ( MSFT )-backed (MSFT) OpenAI.

Palantir ( PLTR ) and Nvidia ( NVDA ) didn't respond to MT Newswires' requests for comment.

Price: 187.37, Change: -19.81, Percent Change: -9.56