The internet revolutionized business and broke down barriers between Wall Street and Main Street, leading to a retail investor revolution. Retail investors are increasingly active in equities trading, flocking to high-flying stocks like Palantir and AST SpaceMobile. However, Wall Street analysts warn of potential plunges of up to 62% for these stocks in 2026.

Palantir’s success stems from consistently surpassing sales expectations and offering unique technology like Gotham and Foundry. Despite potential, RBC Capital Markets analyst Rishi Jaluria predicts a 62% decline in Palantir’s stock. He questions the premium investors are willing to pay for the company, which could lead to a significant drop.

Jaluria has expressed concerns about Palantir’s Foundry segment, suggesting scaling may be difficult. Additionally, he warns of a potential AI bubble burst that could impact Palantir. Similarly, AST SpaceMobile may face challenges as it relies on launching satellites efficiently and faces competition from Starlink.

AST SpaceMobile’s unique partnerships and technology differentiate it in the satellite-based cellular broadband market. Despite potential growth, UBS analyst Christopher Schoell predicts a 48% decline in AST’s value due to competitive pressures from Starlink. Schoell’s concerns are driven by the recent acquisition of S-Band spectrum by Starlink.

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Read more at Yahoo Finance: 2 High-Flying Stocks Retail Investors Love That Can Plunge Up to 62%, According to Select Wall Street Analysts