Michael Burry agreed with Ken Griffin's warning that GPU rental prices could go “into freefall” if supply exceeds demand, calling it “obvious to most with a working brain cell.” Griffin compared the risk to the telecom buildout of 2000, when more fiber was built than demand required and prices fell sharply. The mechanism would hit CoreWeave directly because its revenue comes from GPU rentals, and reach Nvidia and AMD through customer orders. The article notes Nvidia's fiscal 2023 downturn, when revenue was flat at $27.0 billion and gross margin fell to 56.9% from 64.9%. Rental prices for H100 chips are up 45% since December, and CoreWeave's operating margin was -0.3% in 2025, so it would feel a glut first.
Summary written by Upside AI from the original article. Read the source for full details.
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NVDACoreWeavesemiconductorsdata centers
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Related tickers and likely impact
NVDA
▼ Likely negativeNvidia
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/23/2026 | 211.00 |
| Change that session | -0.57% |
QQQ
▼ Likely negativeInvesco QQQ Trust
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/23/2026 | 704.39 |
| Change that session | -0.01% |
SPY
▼ Likely negativeSPDR S&P 500 ETF
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/23/2026 | 759.85 |
| Change that session | -0.54% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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