Woofun AI reports that Michael Burry has established short positions in Caterpillar stock at $1060.98, marking his first short bet on the construction equipment manufacturer. He simultaneously shorted Nvidia, Applied Materials, Tesla, and the iShares Semiconductor ETF (SOXX), arguing these assets are overvalued beneficiaries of the current AI investment cycle.

Burry highlighted that Caterpillar shares rose 86% in the first half of 2026, with the price-to-earnings ratio hitting a 30-year high. He also noted the Philadelphia Semiconductor Index trades 65% above its 200-day moving average, a deviation comparable to the 2000 internet bubble, suggesting recent spending announcements signal the end of the rally.