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Feb 12, 2026
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SHORT
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Michael Burry's title "Palantir’s New Clothes: Foundry, AIP, & the Failure of Reason" strongly implies a critical, likely bearish, view on Palantir's fundamental value or business model, suggesting its perceived strengths might be illusory. He also highlights internal disconnects and leadership inefficiencies (Karp's "hard way" approach). Michael Burry is a renowned contrarian investor known for identifying overvalued assets and systemic flaws. His use of the "Emperor's New Clothes" metaphor, combined with the focus on internal friction and leadership style, suggests he believes the market is mispricing Palantir due to a lack of fundamental strength or operational efficiency. Initiate a short position on Palantir (PLTR) based on Burry's implied bearish thesis regarding its fundamental value and operational effectiveness, despite market hype. The post is an introduction and lacks specific financial data or a fully developed bearish argument. Palantir's stock could continue to be driven by market sentiment, growth narratives, or actual strong performance in its core products that Burry has not yet addressed. Burry's "appreciation" for Karp, though qualified, could be misinterpreted. |
Substack - Cassandra Unchained
Palantir’s New Clothes: Foundry, AIP, & the F...
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Feb 03, 2026
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AVOID
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The problem is a lack of access to *emergency medical care* and basic infrastructure for women in "poor, rural areas" of Sub-Saharan Africa and South Asia. The "growing need" is for fundamental, accessible care. Companies whose growth narratives heavily depend on expanding into these specific emerging markets with high-cost healthcare solutions or complex infrastructure might face significant challenges in profitability and market penetration due to the extreme poverty and lack of foundational healthcare systems. The "need" is for very low-cost, basic solutions, which often do not align with the profit models of large, publicly traded healthcare companies. Avoid or watch companies that are heavily promoting or investing in high-cost healthcare expansion into these specific regions, as the underlying issues highlighted by Burry suggest a market that cannot profitably support such ventures without substantial external aid or a fundamental shift in business model. Companies might pivot to very low-cost, high-volume solutions; philanthropic partnerships could subsidize their entry; governments might prioritize healthcare spending. |
Substack - Cassandra Unchained
February 2026 Cassandra Unchained Charity of ...
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Feb 03, 2026
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SHORT
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Burry highlights the widespread and growing problem of severe childbirth injuries due to a profound lack of access to basic emergency medical care in poor, rural areas of Sub-Saharan Africa and South Asia. He explicitly notes a "growing need" for certain interventions. This indicates deep-seated systemic issues, including underdeveloped healthcare infrastructure, pervasive poverty, and potentially governance failures, which are fundamental impediments to long-term economic development and social stability in these regions. Burry's "Cassandra" moniker suggests he sees overlooked fragility that could manifest as future underperformance. Shorting or avoiding broad-market ETFs or companies with significant, undifferentiated exposure to the general economic health or stability of these specific emerging markets, as the underlying social and health crises suggest higher unpriced risks and lower long-term growth potential than commonly assumed. Philanthropic efforts or unexpected government reforms could improve conditions faster than anticipated; commodity booms could temporarily boost economies despite social issues; other global macro factors could overshadow regional problems. |
Substack - Cassandra Unchained
February 2026 Cassandra Unchained Charity of ...
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Feb 02, 2026
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WATCH
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Burry explicitly states that "the volatility at present make it difficult to write with any depth before the situation significantly changes." This direct observation by Burry underscores that current market volatility is a significant, pervasive factor influencing market dynamics and investor decision-making. While he doesn't predict its direction, his emphasis on its presence and impact suggests it's a critical metric for all market participants to monitor. Given Burry's acknowledgment of high and rapidly changing volatility, investors should closely watch volatility indices (like the VIX) and related instruments. This monitoring can provide insights into market sentiment, potential systemic risks, and opportunities for hedging or tactical positioning in a fast-moving market. Burry does not specify whether he expects volatility to increase, decrease, or remain elevated. Volatility can be mean-reverting, and a period of high volatility might quickly subside, or it could persist and intensify. Watching the VIX is an observation strategy, not a directional trade, but misinterpreting its future trajectory could lead to poor investment decisions if a directional bet were to be made based on this observation alone. |
Substack - Cassandra Unchained
Short Thoughts: February 2, 2026...
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