Published: November 21, 2025
Palantir Technologies (NASDAQ: PLTR) extended its recent slide on Friday, November 21, 2025, as investors reacted to a cluster of headlines: a fresh analyst downgrade, a high‑profile insider sale by CEO Alex Karp, hedge funds rotating out of the stock, and mounting worries that the artificial intelligence (AI) trade may be running too hot.
By mid‑afternoon, Palantir stock was trading around $150.28, down roughly 3.5% from Thursday’s close. That puts PLTR about 25% below its early‑November high above $207, according to analysis from Money Morning, which highlighted the speed of the pullback despite Palantir posting its strongest quarterly results to date. [1]
At the same time, the stock is still up more than 100% year‑to‑date, making it one of 2025’s standout AI names even after the recent correction. [2]
Palantir Stock Today: Price Action on 21 November 2025
- Latest price (approx.): $150.28
- Day’s range: $148.62 – $157.73
- Change vs. prior close: about –$5.47, or –3.5%
- Volume: over 28 million shares traded by mid‑afternoon.
Friday’s decline follows:
- A roughly 6% drop on Thursday, amid a broad tech sell‑off that erased around $1 trillion in market capitalization from U.S. stocks. [3]
- A five‑session slide of more than 16%, according to TipRanks’ AI‑driven analysis, reflecting both valuation anxiety and weak technical signals. [4]
Despite the pullback, Palantir still trades at rich valuation levels:
- MarketBeat pegs Palantir’s trailing P/E ratio at about 371, with a market cap near $371 billion. [5]
- The consensus analyst rating is “Hold”, with an average price target of roughly $172–$188, implying modest upside from current levels. [6]
In other words, even after a near‑term correction, PLTR is far from “cheap” by traditional metrics, which is exactly what many of today’s headlines are zeroing in on.
Key Headlines Moving PLTR on November 21, 2025
1. CEO Alex Karp Sells 585,000 Shares Worth About $96 Million
One of the most eye‑catching stories today is that CEO Alex Karp sold 585,000 Palantir shares, worth roughly $96 million, in a transaction dated November 20 and disclosed in a new SEC filing. [7]
Coverage notes:
- The sale comes after Karp recently criticized traders buying put options on Palantir as engaging in “outrageous” behavior and accused them of market manipulation, while defending the company’s lofty valuation. [8]
- Karp remains a major shareholder and long‑time leader, but a sale of this size naturally feeds the narrative that insiders are taking profits after a huge AI‑driven rally.
Articles do not make clear whether these trades are part of a pre‑arranged 10b5‑1 trading plan, so investors are left to interpret the timing on their own. Regardless of motive, heavy insider selling tends to add short‑term pressure to a momentum stock like PLTR.
2. AI Analyst Downgrades Palantir to “Hold,” Cuts Price Target to $188
In a widely circulated note today, TipRanks’ AI Analyst (using a multi‑model AI system that includes OpenAI’s GPT‑4o) downgraded Palantir from “Buy” to “Hold” and trimmed the price target from $232 to $188, only about 13–14% above current levels. [9]
Key points from the analysis:
- Palantir has been one of 2025’s best‑performing AI stocks, up more than 106% this year. [10]
- After a spectacular run and more than 16% decline over the past five sessions, valuation and technical indicators have turned more concerning. [11]
- The AI analyst still acknowledges strong U.S. revenue growth, robust demand for Palantir’s Artificial Intelligence Platform (AIP), and solid cash generation, but believes the risk‑reward has become more balanced at current levels. [12]
This note lines up with the broader Wall Street consensus, where most analysts already rate PLTR as a Hold with limited upside based on current price targets. [13]
3. Billionaire Hedge Funds Dump Palantir, Rotate into Circle Internet
CoinCentral reported today that two billionaire‑led hedge funds made big reductions in Palantir holdings during Q3 2025 while buying shares of Circle Internet Group instead: [14]
- Israel Englander’s Millennium Management
- Sold 4.6 million PLTR shares, cutting its position by about 91%.
- Bought Circle shares, growing that stake modestly. [15]
- David Shaw’s D.E. Shaw & Co.
- Sold 6.4 million PLTR shares, reducing its stake by roughly 41%.
- Opened a new Circle position with 33,100 shares. [16]
The same article notes that Michael Burry (famous for “The Big Short”) has taken a large short position via Palantir put options, with PLTR puts representing around two‑thirds of his $1.4 billion portfolio. [17]
Even though these trades occurred earlier in the year, the story landing today reinforces the idea that “smart money” is trimming exposure to Palantir after its massive run‑up.
4. A U.S. Lawmaker Quietly Bought Palantir Stock
Not all institutional flows are negative. A new MarketBeat alert today points out that Rep. Gilbert Ray Cisneros, Jr. (D‑California) disclosed buying $1,001–$15,000 of Palantir shares in a transaction dated October 9, reported on November 18 and highlighted today. [18]
The same piece reiterates Palantir’s latest earnings beat:
- Q3 2025 EPS: $0.21 vs. $0.17 expected
- Q3 revenue: $1.18 billion, up 62.8% year‑over‑year
- Consensus FY 2025 EPS estimate: about $0.31 per share. [19]
While the dollar amount is small, the trade underscores that some policymakers and institutions still view Palantir as attractive despite its volatility.
5. Nvidia’s Blowout Earnings Reinforce the AI Demand Story
Adding complexity to the bearish narrative, Nvidia’s latest earnings report—also out this week—delivered results “well ahead of expectations.” A Motley Fool article syndicated by Nasdaq today argues that this is “incredible news” for Palantir investors, because it validates that AI adoption is continuing at a brisk pace. [20]
The article highlights:
- Nvidia’s performance suggests continued heavy spending on AI infrastructure, which supports Palantir’s pitch that AI isn’t a passing fad. [21]
- Palantir’s AIP platform is driving “robust growth,” and today’s pullback may be more about sentiment than fundamentals. [22]
So while traders are de‑risking AI names in the short term, the macro AI adoption trend that benefits Palantir appears intact.
Fundamentals: Palantir’s Q3 2025 Was Blockbuster
Much of today’s debate revolves around whether Palantir’s fundamentals justify its valuation. On that front, the company’s recent numbers have been undeniably strong.
From Palantir’s own Q3 2025 investor presentation: [23]
- Total Q3 revenue: about $1.18 billion, up 63% year‑over‑year and 18% quarter‑over‑quarter.
- Commercial revenue: grew roughly 73% YoY.
- U.S. commercial revenue: up about 121% YoY, reflecting explosive enterprise demand for AIP.
- Government revenue: up roughly 55% YoY, supported by big‑ticket defense and federal contracts.
- Adjusted operating income: about $601 million, representing a 51% margin, up from $276 million a year ago.
- Q4 2025 guidance:
- Revenue between $1.327–$1.331 billion
- Adjusted operating income of $695–$699 million.
- Full‑year 2025 guidance:
- Revenue between $4.396–$4.400 billion
- Adjusted operating income of roughly $2.15 billion
- Adjusted free cash flow in the $1.9–$2.1 billion range.
These figures place Palantir among the fastest‑growing large‑cap software companies in the market, with a balance sheet highlighted by $6.4 billion in cash and no debt at quarter‑end. [24]
Recent contract wins help underpin that growth:
- The U.S. Treasury Department just awarded Palantir a contract to build a unified API layer and data analytics infrastructure, aimed at improving data integrity and workflow automation across federal programs. [25]
- In July 2025, the U.S. Army awarded Palantir a major Enterprise Agreement that consolidates 75 contracts (valued up to a potential $10 billion over up to 10 years) into a single framework, designed to accelerate delivery of AI‑driven software to warfighters. [26]
Taken together, these data points support the bullish long‑term narrative: Palantir is embedded in critical U.S. government systems while rapidly scaling commercial AI deployments.
So Why Is Palantir Stock Falling?
Given these strong results, why is PLTR sliding so hard this month? Today’s coverage points to several overlapping factors.
1. AI Bubble Fears and a Brutal Tech Pullback
Money Morning notes that Palantir’s stock has shed about 25% from its early‑November peak above $207 as investors reassess the “AI trade” after a year of huge gains. [27]
At the same time, 24/7 Wall St. highlights that roughly $1 trillion in market cap was wiped out in a single session across U.S. stocks this week, with several leading tech names still “hunting a bottom.” [28]
This combination of:
- Macro risk‑off sentiment
- Concerns that AI valuations became too stretched
- Heavy profit‑taking after big gains
is hitting high‑beta names like Palantir the hardest.
2. Extreme Valuation and Technical Pressure
Analysts have repeatedly flagged Palantir’s valuation as a key risk:
- Money Morning points out that PLTR still trades at more than 180x consensus earnings estimates, even after the pullback. [29]
- MarketBeat lists a trailing P/E ratio above 370 and a price‑to‑earnings‑growth (PEG) ratio over 6. [30]
- TipRanks’ AI Analyst highlights bearish technical indicators and notes that momentum has cooled sharply in recent days. [31]
Given these starting conditions, even minor disappointments—or simply a shift in sentiment—can trigger sharp drawdowns.
3. Mixed Signals from Insiders and Hedge Funds
Today’s stories also amplify the idea that some sophisticated players are taking money off the table:
- Alex Karp’s $96 million share sale comes shortly after he publicly defended Palantir’s valuation, creating an optics problem for bullish investors. [32]
- Millennium Management and D.E. Shaw slashed their Palantir stakes while reallocating capital into Circle Internet Group, suggesting a rotation from a fully valued AI winner to a beaten‑down growth story. [33]
- Michael Burry’s large PLTR put position reinforces the perception that some well‑known contrarians see downside risk. [34]
To be fair, these are just some investors—others, like Rep. Cisneros and smaller institutions, are adding shares on weakness. [35] Still, the net narrative today is that big money is cautious.
4. The Bull vs. Bear Tug‑of‑War
The market’s current debate, reflected across today’s coverage, looks roughly like this:
Bullish camp (as seen in pieces from Money Morning, Seeking Alpha, and Motley Fool): [36]
- Palantir is at the center of the AI software wave, with AIP adoption accelerating.
- Q3 2025 showed hyper‑growth, widening margins, and strong free cash flow.
- Government and commercial customers face high switching costs, making Palantir’s platforms “sticky.”
- If management’s long‑term growth vision plays out, today’s dip could be a rare chance to buy a category leader at a discount compared with future earnings.
Bearish camp (visible in hedge fund moves, valuation commentary, and some analyst reports): [37]
- Even after the pullback, Palantir trades at extreme multiples, pricing in years of near‑perfect execution.
- AI spending may be cyclical and subject to budget delays, especially in government and large enterprises. [38]
- Heavy insider and hedge fund selling could signal that expectations got ahead of reality.
- Technicals suggest the stock could fall further—some analyses point to another 10–15% downside before hitting key support levels. [39]
For now, the bearish short‑term forces are outweighing the bullish long‑term story in the share price.
What Palantir Investors Are Watching Next
Looking beyond today’s headlines, several catalysts will likely shape where PLTR goes from here:
- Execution vs. High Expectations
- Future earnings reports must keep showing 60%+ revenue growth and 50%+ operating margins if Palantir is to grow into its valuation. [40]
- New AI and Government Contracts
- AI Spending Environment
- Corporate and government budgets for AI, especially after Nvidia’s upbeat numbers suggested robust AI demand despite market volatility. [43]
- Insider and Hedge Fund Activity
- Whether Karp or other insiders continue to sell, and whether institutional flows stabilize or turn positive again. [44]
- Valuation Reset or New Leg Higher
- Analysts and investors will be watching to see if PLTR stabilizes near current levels, retests lower technical support, or regains momentum into year‑end.
Bottom Line
On November 21, 2025, Palantir stock is caught in a tug‑of‑war between exceptional fundamentals and elevated expectations:
- Near term: Insider selling, hedge fund exits, an AI‑driven downgrade, and broad tech weakness are fueling volatility and downside pressure.
- Long term: Rapid revenue growth, expanding margins, deep U.S. government ties, and strong AI demand still underpin the bullish thesis.
As always, this article is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Anyone considering an investment in Palantir should do their own research, consider their risk tolerance, and, if needed, consult a qualified financial advisor.
References
1. moneymorning.com, 2. www.tipranks.com, 3. 247wallst.com, 4. www.tipranks.com, 5. www.marketbeat.com, 6. www.marketbeat.com, 7. cryptobriefing.com, 8. cryptobriefing.com, 9. www.tipranks.com, 10. www.tipranks.com, 11. www.tipranks.com, 12. www.tipranks.com, 13. www.marketbeat.com, 14. coincentral.com, 15. coincentral.com, 16. coincentral.com, 17. coincentral.com, 18. www.marketbeat.com, 19. www.marketbeat.com, 20. www.nasdaq.com, 21. www.nasdaq.com, 22. www.nasdaq.com, 23. investors.palantir.com, 24. investors.palantir.com, 25. home.treasury.gov, 26. www.army.mil, 27. moneymorning.com, 28. 247wallst.com, 29. moneymorning.com, 30. www.marketbeat.com, 31. www.tipranks.com, 32. cryptobriefing.com, 33. coincentral.com, 34. coincentral.com, 35. www.marketbeat.com, 36. moneymorning.com, 37. coincentral.com, 38. www.investing.com, 39. www.investing.com, 40. investors.palantir.com, 41. home.treasury.gov, 42. www.army.mil, 43. www.nasdaq.com, 44. cryptobriefing.com
