Despite strong financial growth, Palantir’s shares have retreated amid an increasingly negative sentiment for software stocks.
- PLTR is down 25% so far this month.
- Burry said stock’s trading volume has been declining for about a year, a signal that investor interest might be diminishing.
- Cathie Wood’s ARK Investment bought nearly $9.7 million in PLTR shares on Tuesday.
Palantir Technologies Inc.’s stock dipped 2.3% on Tuesday amid a market-wide rout and is heading for its worst month on record, with ace investor Michael Burry flagging another sign of waning momentum.
Investors are increasingly rotating capital out of software and Big Tech names and into semiconductors. Palantir, despite posting strong financial results in recent quarters, has not been spared from the broader selloff. The stock has tumbled 25% in June and is down 34% year-to-date in 2026.
One of the overhangs for the stock is Burry. “The Big Short” investor disclosed a short position on PLTR in early November 2025 and has since routinely voiced concerns over the company’s business, including alleged inflated accounting and high spending on private jets by its chief executive, Alex Karp.
Burry Says PLTR Negative Indicators Intact
Palantir’s downtrend is still intact, and there are not yet clear technical signs that the stock has found a bottom, Burry said in posts on his Substack and X accounts.
“Palantir making a new lower low after an unimpressive low volume topping process. Volume remains low as it makes this new lower low. No sign of capitulation or exhaustion among sellers yet,” he wrote in a Substack post.
He posted a chart which showed that PLTR’s trading volume has consistently declined since early last year, even though the stock peaked in November – a sign that investor interest might be waning.
PLTR stock hit its record close of $207.18 on Nov. 3, 2025. That is the same time that Burry’s Scion Asset Management revealed it had bought put options in the third quarter of 2025. Since then, the PLTR stock has shed about 44%. “Rock rock til you drop,” Burry wrote in an X post, referring to Palantir.
Cathie Wood Buys PLTR Dip
On the other hand, Cathie Wood’s ARK Investment Management, which has been offloading PLTR stock, turned a buyer. The widely watched tech ETFs operator purchased a $9.7 million lot on Tuesday.
ARK Investment sold over $60 million of stock between November 2025 and January 2026, before buying back up $10 million in April.
Retail View On PLTR
On Stocktwits, retail sentiment for PLTR was ‘neutral’ as of late Tuesday, unchanged from the prior day. Still, the stock has been widely discussed amid price weakness, with message volume for the ticker rising nearly 1,400% over the last 30 days.
“$PLTR love palantir and the software: bullish long term but with all the IPOs coming up and the very high multiple this is still trading high. Good luck to both sides,” said a trader.
About half of the nearly 4,000 retail traders who voted in an ongoing Stocktwits poll say they will buy the stock when it falls below $100, a level not seen in more than a year. About 34% say they will buy between $115 and $120.
PLTR stock closed at $116.70 on Tuesday. Shares were marginally down in overnight trading ahead of Wednesday.
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