Palantir: War Got Us This Far, But It's Time To Trim At +$142 (Downgrade)

(10min)

Summary

  • Palantir Technologies Inc. hit all-time highs this morning on geopolitical tensions in the Middle East and a raised high price target of $155. The stock has entered high-risk territory.
  • Israel-Iran conflict could end sooner than expected, and the upside of that got priced in Friday so investors should be wary about counting the positives too soon.
  • PLTR stock trades at premium multiples with a P/E of 574; to put this into context, Nvidia is trading at a P/E of 46.
  • The ownership structure shows significantly above-average retail ownership of this name, which makes the stock more prone to panic selling.
  • We're downgrading Palantir to a hold and urge investors to trim at +$142.
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Army Battle Scene Soldiers And Operation War Scene Image

Enes Simsek

Palantir Technologies Inc. (NASDAQ:PLTR) broke all-time highs Monday morning, June 16th, i.e., this morning, currently trading at $142.73 and up almost 4% for the day so far, with RSI heading for overbought territory (currently at 67.5).

The

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This article was written by

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Tech Stock Pros is a team of three former technology sector engineers with a long history of investing in the tech sector.

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Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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