"The Big Short" Michael Burry warns: Jensen Huang's departure could weaken Nvidia's competitiveness, and investors should exit as soon as possible.

on November 13, Michael Burry Stock Tracker relayed that Michael Burry, the real-life inspiration behind the film The Big Short and a prominent investor, recently warned investors to exit their Nvidia (NVDA) stock holdings before it is too late.

Burry suggests that with Jensen Huang stepping down, Nvidia customers may slow down procurement, renegotiate contract terms, or even shift to competitors. He also questions Nvidia's provision of financing for client purchases through special purpose entities and hidden debt, which has fostered high leverage risks across the industry.

Additionally, Burry alleges that Jensen Huang previously drove early client purchasing by leveraging pressure over future chip allocations, and such demand may prove unsustainable. He anticipates that Nvidia's future revenue growth could decelerate, profit margins face downward pressure, and once again urges Nvidia bulls to exit their positions promptly.