Overview
- Palantir reported a stronger-than-expected third quarter on Nov. 3, lifting its full-year outlook after revenue rose 63% to about $1.1 billion and non-GAAP EPS reached $0.21.
- A Bloomberg analysis cited the stock as the S&P 500’s most expensive by price-to-sales and fourth most expensive by P/E, underscoring concerns about limited room for error.
- Raymond James kept a Market Perform rating without a target, pointing to an 85x sales multiple, and Morgan Stanley’s Sanjit Singh called valuation his key stumbling block.
- SEC filings on Nov. 4 showed Michael Burry’s Scion Asset Management took put-option positions against Palantir and Nvidia, signaling a bearish wager on AI highfliers.
- CEO Alex Karp countered in a CNBC interview that the company’s fundamentals and growth trajectory outweigh short-seller claims.