The market has rarely witnessed a reversal as dramatic as what happened to Palantir Technologies (PLTR). Once a niche defense contractor, Palantir rode an AI and data analytics boom to market stardom. After soaring over 400% the past year, the AI darling collapsed in spectacular fashion, shedding more than 15% across six consecutive trading sessions and erasing a staggering $73 billion in market value.
This stunning downturn handed short sellers a rare victory, generating over $1.6 billion in profits, even as these same traders had been nursing $4.5 billion in paper losses earlier in the year.
