Meta’s really been getting clobbered lately.

The stock’s down significantly from its highs, and traders are already sniffing for a bounce. 

But if you’re just throwing cash at shares, hoping the stock will go back up, you’re missing the point.

Buying the dip with options lets you risk less, profit more, and keep powder dry while the market sorts itself out.

Let’s say you think Meta will rebound in the next few months. 

Instead of buying 100 shares at $600 and laying out $60,000, you could use a long call option to control the same upside for way less.

For example, a January 2026 $620 call might cost around $65 per contract, or $6,500 total.

If Meta climbs to $680, that option could double. If it pushes to $740, you could be looking at triple. 

And if you’re wrong, your worst-case loss is locked in at $6,500.

That’s how I like to bet on high-quality stocks when the market’s panicking: by using time and leverage strategically, not just hoping I caught the bottom.

But Meta’s recent bludgeoning isn’t just a one-off tech hiccup. 

This week’s been full of smoke signals, and not the kind you ignore.

Consider the Source

Michael Burry — yes, the Big Short guy — just called out the AI trade in a way most folks aren’t ready to hear.

On Monday, Burry said on X that AI hyperscalers are playing games with their numbers by lowballing depreciation on microchips (saying the chips will last longer than they actually will).

Translation? Earnings look better on paper than they should.

If he’s right, we could be looking at a massive sentiment reversal in the biggest names on the board.

That matters because the AI trade has been propping up this market all year. 

If Wall Street starts picking up on inflated earnings or accounting shenanigans, this thing can unwind fast.

Cold Hard Calculation

Just look at what SoftBank did this week.

The same SoftBank that’s been riding Nvidia like a racehorse just dumped its $5.8 billion stake, although they made a monster profit (around $3 billion).

So what do they know?

SoftBank’s no rookie. They’ve made some dumb bets over the years (looking at you, WeWork), but they’re not emotional traders. 

They had size on in Nvidia … and they just walked away. 

That doesn’t mean the stock crashes tomorrow, but it tells you this: The smart money is taking profits on AI.

So let’s put the pieces together:

• Meta’s getting punished even though it’s a cash-printing machine.
• Burry’s calling out AI earnings for being artificially inflated.
• SoftBank’s walking away from the most hyped stock of the year.

This isn’t panic. It’s positioning.

And if you’re not thinking three steps ahead, you’re playing defense in a game that rewards offense.

Here’s What to Do 

First, you don’t just short Nvidia or dump your AI plays because of a headline. 

What you do is think like a trader, not an investor. Investors get steamrolled in these rotations, but traders just shift gears.

If AI unwinds, it’s not the end of the world — it’s an opportunity. 

You start looking for names that got left behind while Nvidia sucked up all the oxygen. 

You look at Meta, Google, maybe even Shopify or Adobe. Then you pick your spots, and you use options.

Use calls with time if you’re bullish, put spreads if you’re seeing cracks. 

You control risk, you manage time, and you don’t fall in love with a ticker.

That’s the whole game.

The market’s changing again and stories are shifting, but options give you flexibility that the buy-and-hold crowd just doesn’t have. 

And when the big players are making noise, it’s your job to listen … and act before the crowd catches up.

Stay street smart,
Jeff Zananiri