Palantir Technologies Inc (NASDAQ:PLTR) is trading lower on Tuesday as selling pressure and weaker momentum indicators weighed on investor sentiment. Valued at $412 billion, Palantir’s market cap has soared despite generating only $1.7 billion in free cash flow, making it appear as though it has “invented time travel” in the eyes of some analysts here.
Over the past year, Palantir has surged 435%, although it has experienced a 14.6% drop in the past month, currently trading around $174. While the stock is not far from its 52-week high of $189.46, analysts from Citron Research argue that its valuation is significantly inflated, proposing that a comparison to OpenAI’s recent $500 billion valuation could suggest a more realistic price of approximately $40 per share for Palantir for the stock.
