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Palantir (PLTR) shares closed sharply lower on Tuesday, Nov. 4, even though the AI-enabled data analytics company posted another strong quarter and raised its guidance for the full year. Shares are down another 3.6% in Wednesday morning trading.
Investors bailed on PLTR primarily because of valuations concerns. At a forward price-earnings (P/E) multiple of nearly 465x, it’s among the most expensive S&P 500 Index ($SPX) names heading into 2026.