Palantir stock slumps 9%, falling for a fifth-straight day from record
The artificial intelligence software provider's stock has slid more than 15% over the last five trading sessions, after a stellar earnings report earlier this month propelled shares to all-time highs. The report was Palantir's first-ever $1 billion revenue quarter.
Tuesday's dip coincided with a broader market pullback.
Palantir is the most significant gainer to date in the S&P 500 in 2025, up more than 100%.
Shares have more than doubled as the company benefits from ongoing AI enthusiasm, scooping up government contracts with President Donald Trump pushing to overhaul agencies.
Palantir's ascent has pushed the company into a list of top 10 U.S. tech firms and 20 most valuable U.S. companies, while also making shares incredibly expensive to own. Its forward price-to-earnings, which tracks future earnings relative to share price, has soared past 245 times.
By comparison, technology giants such as Microsoft and Apple carry a PE of nearly 30 times and rake in significantly greater quarterly revenues. Meta's and Alphabet's PE ratios hover in the 20s.
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