Palantir Technologies Inc. (NASDAQ:PLTR) shares are trading lower Tuesday, extending losses from recent sessions.
- PLTR is having a challenging session. Track the action here.
What To Know: Palantir reported third-quarter earnings at the beginning of the month. Around the same time the report was released, “Big Short” investor Michael Burry disclosed in a filing that his hedge fund Scion Asset Management was shorting Palantir and Nvidia, which sparked concerns about a potential AI bubble.
In a post on X Tuesday morning, Burry confirmed that he is still holding put options on Palantir stock.
Despite the bearish stance from Burry, Palantir reported strong results for the third quarter, smashing estimates. The company reported adjusted earnings per share of 21 cents, beating the consensus estimate of 17 cents, and revenue of $1.18 billion, beating the consensus estimate of $1.09 billion.
Palantir also guided for fourth-quarter revenue of $1.32 billion to $1.33 billion, versus the consensus estimate of $1.19 billion. The company even raised its fiscal 2025 revenue guidance to a range of $4.39 billion to $4.40 billion, versus the consensus estimate of $4.17 billion.
Following the company’s earnings report, multiple analysts lifted price targets.
- BofA Securities analyst Mariana Perez Mora maintained a Buy rating on Palantir and raised the price target from $215 to $255.
- Mizuho analyst Matthew Broome maintained a Neutral rating on Palantir and raised the price target from $165 to $205.
- Piper Sandler analyst Clarke Jeffries maintained an Overweight rating on Palantir and raised the price target from $201 to $225.
- Cantor Fitzgerald analyst Thomas Blakey maintained a Neutral rating on Palantir and raised the price target from $155 to $198.
- UBS analyst Karl Keirstead maintained a Neutral rating on Palantir and raised the price target from $165 to $205.
The consensus price target for Palantir is $156.27, with the lowest price target at $20.00 and the highest price target at $255.00.
PLTR Analysis: Palantir stock is trading within its 52-week range of $58.85 to $207.52. This recent decline comes after a strong year-to-date performance of 122.2%, indicating that while the stock has seen significant gains, it is currently experiencing a pullback.
From a technical perspective, Palantir is trading approximately 7.6% below its 50-day moving average of $180.77, suggesting a bearish short-term trend. However, it remains approximately 20.7% above its 200-day moving average of $138.37, which indicates a stronger long-term bullish sentiment. The relative strength index (RSI) sits at 42.75, signaling a neutral position that could suggest either a potential reversal or continuation of the current trend.
Key support is identified at $164.50, which may provide a floor for the stock if selling pressure continues. Conversely, resistance is seen at $171.80, a level that could pose challenges for any upward movement in the near term. The proximity of the current price to these levels will be critical in determining the next directional move.
With the stock currently testing support levels, a decisive move below $164.50 could signal further weakness, while a rebound towards resistance at $171.80 may indicate a potential recovery. The interplay between these technical levels will be essential for traders looking to capitalize on the stock’s next moves.
See Also: What’s Going On With Klarna Stock Today?
PLTR Price Action: At the time of writing, Palantir shares are trading 0.66% lower at $169.91, according to data from Benzinga Pro.
Image via Shutterstock
