Palantir Technologies has created one of the most dramatic stories on Wall Street this year, defying conventional investment narratives. In 2025, it became the top-performing stock in the S&P 500, surging over 106% and at points climbing 144% from the start of the year—outpacing even AI heavyweights like Nvidia.

In recent days, Palantir's stock has been showing signs of slowing down. After hitting a new all-time high of $190 on Aug. 12, it has proceeded to trade lower. By Monday, the AI stock would close at just over $174 -- down 8% from its recent high.

The Dow Jones index dropped Thursday after surprise initial jobless claims. Walmart falls as Palantir seeks direction.

Citron Research, the firm led by short-seller Andrew Left, unpacked its bear case for Palantir, using OpenAI to show why it may be highly overvalued.

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Palantir Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Stocks fell Thursday as traders broke down Walmart’s earnings report, Cleveland Federal Reserve President Beth Hammack indicated a September rate cut isn’t guaranteed, and Wall Street looked ahead to the Fed’s annual gathering in Jackson Hole,

Andrew Left argues that investors have overhyped Palantir stock, and its valuation pales in comparison to a true AI leader like OpenAI.

Palantir stock has tanked over 20% from its all-time high but Jefferies analyst Brent Thill argues it could crash much further from current levels.

Two hedge fund managers with a track record for market beating returns sold Nvidia and bought Palantir in the second quarter.