DMC Group LLC Lowers Position in Palantir Technologies Inc. $PLTR

Key Points

• DMC Group LLC cut its Palantir stake by 47% in the second quarter, selling 4,042 shares and retaining 4,556 shares valued at approximately $532,000.
• Palantir reported strong quarterly results, with revenue up 92.8% year over year to $1.94 billion and EPS of $0.41, exceeding analysts’ $0.34 estimate.
• Valuation and insider selling remain key risks: the stock trades at roughly 149 times earnings, while insiders sold more than 721,000 shares worth about $117.1 million over the past three months.

DMC Group LLC lessened its holdings in shares of Palantir Technologies Inc. (NASDAQ:PLTR - Free Report) by 47.0% in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 4,556 shares of the company's stock after selling 4,042 shares during the quarter. DMC Group LLC's holdings in Palantir Technologies were worth $532,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently modified their holdings of the business. BlackRock Inc. raised its stake in Palantir Technologies by 0.4% in the second quarter. BlackRock Inc. now owns 189,817,693 shares of the company's stock valued at $22,146,030,000 after purchasing an additional 757,322 shares in the last quarter. State Street Corp grew its stake in Palantir Technologies by 1.1% in the 4th quarter. State Street Corp now owns 102,385,317 shares of the company's stock worth $18,198,990,000 after buying an additional 1,126,418 shares in the last quarter. Geode Capital Management LLC grew its stake in Palantir Technologies by 1.5% in the 4th quarter. Geode Capital Management LLC now owns 54,200,265 shares of the company's stock worth $9,599,882,000 after buying an additional 805,047 shares in the last quarter. Norges Bank bought a new position in shares of Palantir Technologies in the 4th quarter worth $5,149,641,000. Finally, Invesco Ltd. increased its holdings in shares of Palantir Technologies by 2.8% in the 4th quarter. Invesco Ltd. now owns 22,415,082 shares of the company's stock worth $3,984,281,000 after buying an additional 616,297 shares during the last quarter. Hedge funds and other institutional investors own 45.65% of the company's stock.

Palantir Technologies Stock Performance

PLTR stock opened at $174.33 on Monday. The company has a market capitalization of $418.93 billion, a PE ratio of 149.00, a price-to-earnings-growth ratio of 2.47 and a beta of 1.62. Palantir Technologies Inc. has a one year low of $106.37 and a one year high of $207.52. The company's 50 day moving average price is $150.22 and its two-hundred day moving average price is $143.63.

Palantir Technologies (NASDAQ:PLTR - Get Free Report) last announced its quarterly earnings data on Monday, August 3rd. The company reported $0.41 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.34 by $0.07. Palantir Technologies had a net margin of 49.01% and a return on equity of 30.57%. The company had revenue of $1.94 billion during the quarter, compared to analysts' expectations of $1.81 billion. During the same quarter in the prior year, the company earned $0.16 EPS. The firm's revenue was up 92.8% on a year-over-year basis. On average, research analysts predict that Palantir Technologies Inc. will post 1.27 EPS for the current year.

Insider Buying and Selling at Palantir Technologies

In other news, insider Shyam Sankar sold 35,000 shares of the firm's stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $155.70, for a total transaction of $5,449,500.00. Following the transaction, the insider directly owned 642,786 shares of the company's stock, valued at approximately $100,081,780.20. This trade represents a 5.16% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeffrey Buckley sold 1,250 shares of Palantir Technologies stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $174.29, for a total value of $217,862.50. Following the completion of the transaction, the insider owned 56,921 shares in the company, valued at approximately $9,920,761.09. This represents a 2.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 721,508 shares of company stock valued at $117,070,093. Company insiders own 9.53% of the company's stock.

Key Stories Impacting Palantir Technologies

Here are the key news stories impacting Palantir Technologies this week:

• Positive Sentiment: Expanded PwC alliance strengthens Palantir’s enterprise AI reach. Palantir and PwC expanded their strategic partnership to help organizations scale AI, transform mergers and acquisitions, and modernize ERP systems. PwC’s consulting network could help Palantir secure more corporate customers and larger deployments. PwC and Palantir Expand Strategic Alliance
• Positive Sentiment: Army contract adds support for the government business. Palantir won a prime agreement to deliver eight TITAN tactical intelligence ground-station systems to the U.S. Army, reportedly valued at about $192 million. The award expands Palantir’s role in defense intelligence and reinforces demand for its software and data platforms. What Does Palantir Winning Army Work Mean for AI Growth?
• Positive Sentiment: Technical momentum remains constructive. Palantir recently moved above its 20-day moving average and flashed a “golden cross” signal, which technical investors may interpret as evidence of continued short-term strength. The company’s latest reported quarter also featured 92.8% year-over-year revenue growth and earnings above analyst expectations.
• Neutral Sentiment: Investor commentary remains broadly bullish but speculative. Articles highlight Palantir as a potential AI software and cybersecurity winner, while management continues to promote secure, customized AI deployments. These views may support sentiment but do not represent new financial guidance.
• Negative Sentiment: Premium valuation leaves little room for disappointment. Palantir’s market capitalization is above $400 billion and its price-to-earnings ratio is around 149, making the stock vulnerable to profit-taking or any slowdown in growth and margins. Analysts note that its rapid expansion is already reflected in the share price. Is Palantir’s AI Growth Worth the Premium Valuation?
• Negative Sentiment: Competitive and insider-selling concerns persist. Google’s expanding government AI offerings could pressure Palantir’s public-sector opportunity. Michael Burry also renewed his bearish criticism of Palantir’s valuation and business model. Separately, a director sold $244,915 of stock under a pre-arranged Rule 10b5-1 plan, a modest negative sentiment signal. What’s Bugging Palantir’s Stock?

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on the stock. Wolfe Research assumed coverage on shares of Palantir Technologies in a research report on Tuesday, August 4th. They set a "buy" rating on the stock. BNP Paribas Exane assumed coverage on shares of Palantir Technologies in a research report on Tuesday, June 16th. They issued an "underperform" rating for the company. Cantor Fitzgerald started coverage on Palantir Technologies in a research note on Tuesday, August 4th. They issued an "overweight" rating on the stock. President Capital upgraded Palantir Technologies from a "neutral" rating to a "buy" rating and raised their price target for the company from $25.50 to $133.00 in a research report on Monday, June 29th. Finally, Royal Bank Of Canada reaffirmed an "underperform" rating and set a $90.00 price target on shares of Palantir Technologies in a research note on Friday, July 31st. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, ten have given a Hold rating and three have given a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $192.19.

Palantir Technologies Profile

Palantir Technologies is a software company that develops data integration, analytics and operational decision-making platforms for government and commercial customers. Founded in 2003 by a team that included Alex Karp and Peter Thiel, Palantir has grown into a provider of enterprise-scale software designed to help organizations integrate disparate data sources, build analytic models and drive operational workflows. The company went public in 2020 and continues to position its products around large, complex data projects where security, provenance and real-time collaboration are important.

Palantir's product portfolio centers on a small number of core platforms.

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