Palantir (PLTR) shares dropped almost 10% on Tuesday amid broader concerns about overvalued AI stocks. Citron Research deemed PLTR “overvalued” even at $40 per share. Sam Altman’s comment on an AI bubble further fueled the decline. PLTR stock has plunged over 20% from its high of $190. Despite strong revenue growth, PLTR’s P/E ratio remains high at over 400x. Goldman Sachs raised its price target by 50% but still sees a 4% downside potential. Analysts advise caution due to valuation concerns, rating PLTR as “Hold” with a mean target of $156. It may be wise to consider other AI stocks over PLTR.

Read more at Yahoo Finance: Should You Buy the Pullback in Palantir Stock Today?