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Palantir shares drop 4% amid high valuation concerns despite strong AI partnerships and revenue growth

Market News
30 Mar 2026
24/7 Wall Street
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Bearish
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Palantir Technologies shares fell 4% to $137, extending a 22% year-to-date decline due to concerns over its extremely high 220x P/E ratio and insider selling by executives. Despite this, the company continues to report strong U.S. commercial revenue growth, with Q4 2025 revenue up 137% year-over-year and new AI partnerships with Stellantis and AIG. The stock's pullback reflects broader market risk-off sentiment and valuation pressure on high-multiple tech stocks. Analysts remain cautiously optimistic, with Wedbush maintaining a Buy rating and a $230 price target. Investors should watch if the stock can reclaim key levels and if recent partnership news boosts sentiment.

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