Investor Michael Burry Not Betting Against Tesla

• Burry responded 'I am not short' to questions about betting against Tesla, contradicting speculation after his valuation criticism
• Tesla's compiled estimate shows 1.6 million vehicle deliveries expected in 2025, down from 2024 levels
• The company's stock recently hit an all-time high of $489.88 despite facing competition from Chinese EV makers

Michael Burry Denies Shorting Tesla Despite "Ridiculously Overvalued" Assessment

Michael Burry, the Scion Asset Management founder famous for predicting the 2008 housing crisis, clarified on Wednesday via X (formerly Twitter) that he is not shorting Tesla stock. His statement "I am not short" came in response to user inquiries following his recent characterization of Tesla as "ridiculously overvalued."

The clarification is notable given Burry's track record of successful bearish bets, including his current position against tech companies he believes are using aggressive accounting to inflate AI-related profits. Despite his negative view on Tesla's valuation, Burry has chosen not to take a short position against the electric vehicle manufacturer.

Tesla faces significant headwinds heading into 2025. The company recently published sales estimates projecting 1.6 million vehicle deliveries for 2025, representing an 8% decline from 2024 levels. If realized, this would mark Tesla's first year-over-year decline in annual vehicle sales.

The automaker's stock has experienced extreme volatility in 2024, with shares collapsing 36% in the first quarter before recovering. Tesla currently trades near its 52-week high of $489.88. The company continues to face intense competition from Chinese EV manufacturers and ongoing challenges related to CEO Elon Musk's public statements affecting the brand's reputation.

Market implications suggest investors remain divided on Tesla's valuation, with prominent figures like Burry expressing skepticism without taking short positions. The disconnect between bearish sentiment and actual trading positions may indicate uncertainty about timing or concerns about Tesla's historically volatile stock movements that have punished short sellers in the past.