Big Short guru calls out ‘ridiculous’ Elon Musk cult
The man who predicted the world’s last financial crisis says investors should be wary of Tesla’s value on the stock market.
An investment guru famous for betting against the housing market and predicting the 2008 global financial crisis has taken aim at Tesla and Elon Musk.
Dr Michael Burry, who was portrayed by Christian Bale blockbuster financial film The Big Short, has made headlines for writing a blog post describing Tesla as “ridiculously overvalued” and its supporters as “the Elon cult”.
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Writing to subscribers on Substack, Burry said this week that “Tesla’s market capitalisation is ridiculously overvalued today and has been for a good long time”.
Tesla’s current share value is $US1.35 trillion ($2.06T), more than 10 times its annual revenue.
The EV’s share price has increased by 20 per cent in the last year, a tumultuous period that included people firebombing its dealerships in the wake of Elon Musk’s ties to the Trump White House.
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By way of comparison, Ford’s market capitalisation of $US52.4 billion is well less than its annual revenue of about $US185 billion.
Having suggested Tesla is overvalued, Dr Burry doubled down on his criticism of the brand.
“As an aside, the Elon cult was all-in on electric cars until competition showed up, then all-in on autonomous driving until competition showed up, and now is all-in on robots — until competition shows up,” he said.
Sometimes, we see bubbles.
— Cassandra Unchained (@michaeljburry) October 31, 2025
Sometimes, there is something to do about it.
Sometimes, the only winning move is not to play. pic.twitter.com/xNBSvjGgvs
Shareholders have approved a plan to pay Elon Musk $US1 trillion if he can drive Tesla to a market capitalisation of $US8.5 trillion, a sum likely to make it the world’s most valuable company, and he the world’s richest man.
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Dr Burry criticised the unprecedented 13-digit pay packet, having already expressed concern about the current value of the world’s most valuable company, Nvidia, which has been propelled by chips required by the AI boom.
Critics of the man who not only predicted the 2008 financial collapse but reportedly made more than $100 million while doing so, denounce him as a doomsayer, or “the guy who predicted 50 of the last 2 crashes”.
Musk has not responded to Burry’s critique.
Originally published as Big Short guru calls out ‘ridiculous’ Elon Musk cult
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