From Nasdaq: 2025-01-15 07:23:00

Palantir Technologies Inc. (NASDAQ: PLTR) saw a 300% gain in 2024 but is down 14% in 2025. Analysts are concerned as stock falls below its 50-day moving average. Institutional investors are now involved, leading to higher short interest and a drop in PLTR stock.

Despite recent price drops, Palantir remains a key player in AI and software convergence. Valuation is a concern with PLTR stock having a market cap of $151 billion, high P/E ratio of 136x, and P/S ratio of 55x. However, strong free cash flow generation sets it apart from peers.

Analysts like Morgan Stanley and UBS are setting higher price targets for PLTR stock, with a shift from retail to institutional investor influence. Earnings report on February 3, 2025, is anticipated to show a 175% YoY gain in earnings and 52% YoY revenue increase.

Retail investors holding PLTR at lower prices may provide support, but in-line earnings could pressure the stock in the short term. Upside revenue surprises could lead to a potential run back to the $70 level, offering hope for investors.



Read more at Nasdaq:: Everything You Need to Know About Palantir’s Stock Slide