Core Insights - Palantir Technologies Inc. has seen significant stock performance in 2025, with a year-to-date increase of nearly 151% and over 215% in the last 12 months [3] - The stock is currently trading at over 25 times forward sales, indicating a high valuation with limited margin for error [4] - Institutional accumulation is evident, with the stock establishing new support levels at $170 and potentially $190 [5][7] Valuation and Market Sentiment - A pullback to the $170-$180 range could reset expectations and provide a better entry point for long-term investors [4][6] - Traders are observing a potential bounce from the $190 level, which would confirm strong support, while a break below $185 could lead to a deeper correction [6] - Options activity indicates rising put volume at the $180–$190 strikes, suggesting expectations of short-term volatility despite bullish long-term sentiment [7] Financial Performance - Palantir's fundamentals are strong, with a reported 77% growth in U.S. revenue and triple-digit EPS gains, supporting a long-term buy-and-hold strategy [7] - The consensus price target for Palantir stock has increased to $173.45, reflecting institutional buying and the company's performance [8] - Analysts believe that Palantir could potentially double in value over the next five years [8]