"Is there going to be an AI wobble at some point?" Tony Yoseloff told Goldman Sachs. "There's a little bit of a prisoner's dilemma, let's call it."

Many analysts are cautious about Palantir's valuation, but several are bullish on its growing commercial businesses as AI contracts ramp up.

While praising Palantir's strong business, analysts remained concerned over the stock's elevated valuation.

One analyst suggested stocks may be suffering from “rally exhaustion.”

AI darlings Palantir, Nvidia, and Tesla slide, sinking the S&P and the Dow in the early going Tuesday.

“Sometimes, we see bubbles,” Burry said in a recent X post. “Sometimes, there is something to do about it. Sometimes, the only winning move is not to play.”

"Is there going to be an AI wobble at some point?" Tony Yoseloff told Goldman Sachs. "There's a little bit of a prisoner's dilemma, let's call it."

The recent slide among AI stocks has once again put fears of a tech bubble at the forefront of investors' minds.