Michael Burry Is Betting Against Palantir Stock. At Least 1 Analyst Thinks It Can Gain 50% from Here.

Core Viewpoint - Palantir Technologies is facing significant scrutiny following a substantial put option position taken by Michael Burry, indicating a bearish outlook on the company's stock despite its recent record earnings [1][2][3][4]. Company Overview - Palantir Technologies, based in Denver, Colorado, has a market capitalization of nearly $415 billion and offers software platforms such as Gotham, Foundry, and the AI-driven AIP, which are essential for various sectors including government and military [5]. - The company has seen a remarkable stock performance, with shares increasing by 207% over the past 52 weeks and a 55.4% rise in the last six months [6]. Financial Metrics - Palantir's stock is currently trading at extraordinarily high valuation multiples, specifically 384 times forward earnings and 155 times sales, which are significantly above industry averages and reminiscent of the dot-com bubble [7]. - Despite delivering strong earnings, the recent stock decline raises questions about whether the company's growth can justify its elevated price levels [7].