/A%20Palantir%20office%20building%20in%20Tokyo_%20Image%20by%20Hiroshi-Mori-Stock%20via%20Shutterstock_.jpg)
Short sellers are conceding defeat as Palantir (PLTR) shares continue to rip through key resistance levels, according to the latest data from S3 Partners.
Short interest in the big data analytics firm now stands at 2% only – down significantly from its peak of 5% last year in October, the financial data specialist revealed.
Over the same period, Palantir stock has rallied more than 200%.
Palantir Stock Closes Up Slightly Higher on Thursday
PLTR shares closed up on Thursday, June 26 after the Denver-headquartered firm announced a $100 million partnership with “The Nuclear Company” to develop AI tools for U.S. nuclear reactors.
Investors are cheering the new partnership as it diversifies Palantir’s revenue base beyond defense and commercial analytics – and positions it as a key player in the modernization of U.S. energy infrastructure.
Teaming up with TNC reinforces Palantir’s relevance in national priorities, potentially boosting investor confidence and supporting the rather elevated valuation tied to PLTR shares at writing.
Palantir stock is currently going for a forward price-earnings multiple of an eye-watering 392x.
Jim Cramer Says PLTR Shares Are Headed for $200
Despite valuation concerns following a meteoric rally in PLTR stock this year, famed investor Jim Cramer remains bullish as ever on the big data analytics firm.
The former hedge fund manager expressed his optimism on Palantir as he appeared on CNBC yesterday, saying “there’s a company I know, I think it has an algorithm that spits out what would move a stock.”
Cramer is fully convinced that Palantir stock is headed for $200 valuation, which signals potential for another 40% upside from current levels.
According to him, the TNC agreement that Palantir announced is significant since it aligns with U.S. energy goals and rising demand from AI-powered data centers.
Wall Street Analysts Forecast Huge Downside in Palantir
For Wall Street analysts, however, nothing matters more than the enormous forward multiple on PLTR stock at the time of writing.
While the company’s fundamentals remain strong, concerns of gross overvaluation continue to make them rate Palantir shares at “Hold” only with the mean target of about $105 indicating potential downside of over 25% from here.
