Michael Burry Spots A Dot-Com Parallel In AI Chip Stocks As SOXX's Record-Breaking Rally Accelerates: 'Hi

Michael Burry has warned tech investors that the current AI chip rally resembles the dot-com era, arguing that history may repeat as valuations soar. He highlights a sharp ascent in the SOXX index, which closed at 605.02 on Tuesday, up 5.79% for the session and about 98.42% year-to-date. The chart compares the rally to the dot-com peak seen from March to June 2000, suggesting a potential mean reversion after a period of outsized gains. Burry notes his bearish stance remains despite the run, citing a long runway until January 2027. Relative performance shows SOXX up near 100% year-to-date versus QQQ’s 21.70% gain, with six-month and one-year advances of 103.77% and 190.83%, respectively.