So, what changed? Take your pick. Investors have become uneasy about Palantir’s rich valuation, concerns over AI disrupting the traditional software industry – the so-called “SaaSpocalypse” – have weighed on sentiment, and the company has also faced setbacks in parts of its international government business.
So, the market appears to have become more skeptical of the company even though it continues to post strong growth, with Q1 revenue up 85% year-over-year and still accelerating.
Billionaire investor Ken Griffin appears to be among the skeptics. During the first quarter, Citadel, the $68 billion hedge fund he founded and oversees, trimmed its Palantir position by 40%, selling 1,330,855 shares.
Should you take that as a warning sign and follow suit?
Not necessarily. Wolfe’s Alex Zukin, an analyst ranked among the top 3% on Wall Street, is taking a more balanced view of where Palantir stands today.
