To The Moon

Palantir’s stock plunged more than 9%, marking its fifth straight day of declines and extending the pullback from its record high.

The AI software provider has dropped over 15% across the past five trading days, despite a stellar earnings report earlier this month that pushed its stock to an all-time high.

Is Palantir’s sharp pullback just healthy profit-taking, or a sign of a bigger correction?

With shares still up over 100% YTD, is now a buy-the-dip moment or too risky?

Can Palantir sustain its growth momentum after hitting $1B in quarterly revenue?

🎁Special Notes: Whoever showed up on the” What the Tigers Say” column will receive 100 Tiger Coins and an exclusive interview invitation to honor your contribution.

Click titles to read the full analysis:

1. @manta76:

Key Points:

Correction was long overdue.

2. @Mickey082024:

Key Points:

Why the Stock Bull Case Still Holds

Bulls point to several key drivers that remain firmly intact. First, Palantir’s AI-driven platforms are seeing adoption beyond government clients, with commercial revenues growing at double-digit rates. Its Artificial Intelligence Platform (AIP) has been widely praised for its ease of deployment, positioning Palantir as a front-runner in enterprise AI adoption.

Second, the company’s strong government contracts provide a stable revenue backbone, insulating it from the volatility seen in purely commercial AI players. Finally, the recent $1 billion quarterly revenue milestone reinforces that Palantir is scaling into a more mature phase, where recurring revenues and growing operating leverage could translate into sustained profitability.

Risk Factors and Bear Concerns

Despite its progress, skeptics argue that Palantir’s valuation has stretched well beyond fundamentals. The company’s dependence on AI-related hype has raised questions about sustainability—especially as competitors like Microsoft, Alphabet, and other large-cap software giants aggressively expand AI offerings.

Additionally, with the stock more than doubling in 2025 alone, some analysts view the recent correction as overdue. Rising interest rates and macroeconomic uncertainty could also pressure high-multiple stocks like Palantir, where future growth is already heavily priced in.

Verdict: Buy the Dip or Too Risky?

So, is this sharp pullback a buying opportunity—or a warning sign of further downside? For long-term investors who believe in Palantir’s AI leadership and commercial expansion, the recent decline may represent a healthier entry point than at all-time highs. However, caution is warranted: shares still trade at a premium, and volatility is likely to remain elevated as the market reassesses valuations across the AI sector.

Key Takeaways

1. Palantir’s pullback is sharp but not unprecedented, given the magnitude of its YTD rally.

2. Fundamentals remain strong, with profitability, cash flow, and revenue scaling all moving in the right direction.

3. Valuation is still elevated, leaving limited room for error and amplifying volatility risk.

4. AI growth remains the bull driver, but competition and market rotations could test investor conviction.

5. For long-term investors, the dip could offer opportunity, but disciplined entry and risk management are essential.

3. @t1germeow:

Key Points:

Healthy pullback. Look forward to new highs.

4. @Subramanyan:

Key Points:

Considering that $Palantir Technologies Inc.(PLTR)$ fair value is around $40, it is quite overpriced even now. So, we could expect some more bit of correction taking place.

5. @Suneelbadola:

Key Points:

Correction was waiting. Most wars will be settled soon and thus reduction in defence budget. Small decline in Outlook for growth stock invite bigger fall.

6. @xc__:

Key Points:

Buy the Dip or Brace for More? The Week’s Outlook

Is this a turning point or a temporary dip?

• Bull Case: A rebound to $165 (4% upside) is possible by Friday, August 22, if $150 holds as support and earnings momentum resumes, with a 12-month target of $200 (27% gain) if growth sustains.

• Bear Case: A 5-10% drop to $142-$150 looms if $150 breaks, with $125 as a deeper support; a slide below could signal a 20% correction to $126, aligning with analyst targets.

• Growth Momentum: Q2’s 93% U.S. commercial revenue growth and 104 deals over $1 million suggest resilience, but the 95% MIT report on zero AI ROI raises doubts about long-term demand.

• Catalyst Watch: Jackson Hole Symposium (August 21-23) Fed comments, retail earnings (Walmart Thursday), and government contract updates could sway the stock, with Citron’s impact lingering.

• Daily Forecast: $155-$162 (Wednesday), $152-$160 (Thursday), $150-$165 (Friday), per analyst trends, with $150 as the pivotal level.

• Long-Term View: If revenue hits $5 billion by 2026 and profit margins rise to 30%, a $250 target (58% upside) is feasible, but a macro downturn or AI skepticism could cap gains at $120.

The stock’s fate hinges on holding key supports and proving AI value.

Trading Strategies: Seize the Opportunity or Hedge the Risk

Short-Term Plays

• Dip Buy: Buy at $150-$152, target $160-$165, stop at $147. A 4-6% gain if support holds.

• Bearish Hedge: Buy puts at $150, target $140, stop at $153. A 6-7% win if correction deepens.

• Sector Pivot: Buy Health Care ETF (XLV) at $150, target $155, stop at $148. A 3% upside if rotation continues.

• Profit Lock: Sell at $160-$162, target $155-$158, stop at $165. A 2-3% gain if volatility spikes.

• Options Play: Buy $165 calls or $140 puts (August expiry) for 150-200% gains on a 5% move.

Long-Term Investments

• Hold Palantir: Buy at $150-$152, target $200-$250 by 2026, for 27-58% upside if growth holds. Stop at $140.

• Tech Play: Buy AMD at $145, target $170, for 17% upside if chip demand persists. Stop at $138.

• Defensive Pick: Buy Johnson & Johnson at $165, target $175, for 6% upside. Stop at $162.

• AI Diversify: Buy Microsoft at $450, target $500, for 11% upside. Stop at $440.

Hedge Strategies

• VIXY ETF: Buy at $14, target $17, stop at $12, to hedge volatility.

• Gold (GLD): Buy at $200, target $210, stop at $195, for safe-haven play.

• Treasury Play: Buy 10-year T-notes at 4.5%, target 4.3%, stop at 4.7%, on rate cut bets.

My Trading Plan: Navigating Palantir’s Pullback

I’m tackling this dip with a strategic stance. I’ll buy Palantir at $150-$152, targeting $165, with a $147 stop, betting on a rebound if support holds. I’ll add Microsoft at $450, aiming for $470, with a $440 stop, for tech stability. I’ll include Johnson & Johnson at $165, targeting $170, with a $162 stop, and AMD at $145, targeting $155, with a $138 stop. I’m hedging with VIXY at $14, targeting $16, and holding 20% cash for a drop to $140 or macro shifts. I’ll watch Jackson Hole and earnings closely.

Final Note

While PLTR might be at a new highs, I always believe that there is still opportunities to take a trade, so I will continue to look at short-term trade while holding my long-term portfolio for Palantir.

7. @keekee19:

Key Points:

Diamond hands guys! It's time to show short sellers what we are made of!

8. @1PC :

Key Points:
But the stock’s premium means ⚠️ no room for error.
If it holds above 📊 $150, bulls may reload.[Chuckle]
If it breaks below 🧊 $140, caution is warranted.[Spurting]
🧭 Bottom Line
The growth is real.
The dip is sharp.
But the valuation is spicy 🌶️.
Trade the tape, not the hype. 🧠📈

Questions for you:

Is Palantir’s sharp pullback just healthy profit-taking, or a sign of a bigger correction?

With shares still up over 100% YTD, is now a buy-the-dip moment or too risky?

Can Palantir sustain its growth momentum after hitting $1B in quarterly revenue?

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⏰Duration

• 27 Aug (24pm EDT)