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Palantir bounces, but damage has been done

Recent investors are deeply underwater, but bulls urge holding on.

3/11/25 11:59AM

Retail fave Palantir bounced on Tuesday after suffering a 10% tumble in Monday’s bloodletting. It was the data analytics and AI software company’s second 10% drop in three sessions.

Palantir has been one of a number so-called Trump trades — including Tesla and bitcoin — that seemed to be trying to find their footing on Tuesday after a weekslong market sell-off that went into overdrive on Monday. (The S&P 500’s 2.7% drop yesterday was the market’s worst day of the year.)

The steep sell-off in Palantir shares has been deeply painful for investors. Since the stock peaked at an all-time high of more than $124 a share on February 18, it’s plunged by almost 40%. The plunge has vaporized more than $100 billion in market cap from Palantir, leaving recent investors deeply underwater.

The slump has also deeply damaged the technical momentum the stocks have maintained for much of the last year, with Palantir crashing below its 50-day moving index. (Don’t forget in 2024, Palantir was the best-performing stock in the S&P 500, with a 340% gain.)

Despite the pain, tech bulls continue to argue that holding on to companies like Palantir is the right move despite the downdraft for large-cap tech shares.

Palantir bull Dan Ives wrote this after yesterday’s market rout.

“We clearly have misjudged the market reaction to the Trump Policy Bazooka to hit the markets this year. Our bullish calls on Tesla, Nvidia, and many of the Mag 7 have been upside down this year... but our stock calls are not for the next few months... it’s for where we see these tech names over the next 1, 3, and 5 years. Despite much criticism, that is how we have always called our tech winners and many times over the years with Tesla, Apple, Google, Nvidia, Amazon, Palantir among others our backs were against the wall and the times appeared dark at that moment... but yet those were the golden opportunities and that is our view today.”

Toby Bochan, Luke Kawa

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According to Bloomberg, Rivian call options traded outnumber put options more than 5 to 1, for a put/call ratio of less than 0.2 as of 2:38 p.m. ET. That’s significantly less than the 20-day average p/c of 0.4. More than 116,000 call options have changed hands, more than 60% above the full-day average over the past 20 days.

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Palantir also signed a new deal to supply the government of Poland with data, AI, and cybersecurity software, according to Bloomberg.

Polish Minister of Defense Wladyslaw Kosiniak-Kamysz and Palantir CEO Alex Karp signed the letter of intent on the deal, about which few details were released. Polish officials did signal that they were interested in Palantir software systems for “battlefield management” and logistics. Up more than 150% this year, Palantir reports Q3 earnings on November 3.

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Intellia tanks as it pauses late-stage CRISPR gene-editing trials after one patient was hospitalized

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Intellia had also disclosed in May that a patient had experienced elevated liver enzymes. The news is a major setback for the company, which currently has no products on the market and is working on a one-time treatment for heart and nerve conditions.

The news dragged down other companies working on CRISPR treatments, including Beam Therapeutics Inc, Crispr Therapeutics, Editas Medicine, and Prime Medicine.

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Gold craters as retail traders pull money from commodity ETFs

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The five-session average daily flows into the product hit an all-time high of nearly $1.1 billion last Monday as gold and silver had effectively become the new meme stocks, displaying strong momentum and heavy options activity.