Is this ‘Big Short’ Michael Burry’s next big investment?

The November 2025 deregistration of ‘Big Short’ Michael Burry’s Scion Asset Management made tracing the famous investor’s trades difficult, his strategy has remained an area of high interest for many lay and expert observers.

Report from March 3, 2026, might have finally offered an insight into the legendary short trader’s next move. Apparently, after betting against the ongoing artificial intelligence (AI) boom last year, Burry might have selected his next long position.

Should the many rumors and reports prove correct, ‘The Big Short’ investor recently opened a long position in the major computer software company Adobe (NASDAQ: ADBE).

Did Michael Burry just invest in Adobe stock?

While the information is, at press time on March 4, unconfirmed and no stock purchase has been reliably disclosed, ADBE shares reacted positively and rallied 3.88% on Tuesday, March 3.

This turn simultaneously – and at least temporarily – halted Adobe stock’s long losing streak.

Examining ADBE equity’s performance in recent years, its press time valuation appears attractive.

Specifically, the software giant has been struggling ever since it reached its price peak in late 2021 and has been on a decisive downtrend since managing its latest rally in early 2024.

Overall, the five-year chart reveals Adobe stock is down 38.53% through the period and, with its latest closing price of $270.99, it is more than 60% below the 2021 highs.

Why an Adobe stock long position makes sense for Michael Burry in 2026

Much of the company’s decline in recent years has been driven by a wider revenue slowdown and general fears that the development of AI could severely impact Adobe’s business.

Under the circumstances, Michael Burry’s previous bearishness on artificial intelligence, paired with the software company’s cautious adoption, makes the alleged ADBE investment an apparently logical long position to take.

Adobe shares’ multi-year decline also positions it as a defensible investment since, with its valuation already depressed, it is likely not at risk of an extreme selloff like many other technology companies.

Despite this, the rumored long position is contentious, with ADBE stock outlook remaining mixed, and with the sheer scale of AI-related growth seen since 2022 raising doubts about whether any company would escape the fallout if the supposed bubble bursts.

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