Insider Selling: Palantir Technologies (NASDAQ:PLTR) Insider Sells $86,057,506.92 in Stock

Key Points

• Palantir insider Alexander Karp sold 492,348 shares for approximately $86.1 million, reducing his position by 7.11% to 6.43 million shares. The transaction occurred under a pre-arranged Rule 10b5-1 plan to cover tax withholding on vested equity awards.
• Palantir reported quarterly earnings of $0.41 per share, exceeding the $0.34 consensus estimate, while revenue reached $1.94 billion, up 92.8% year over year. Shares were trading near $175.89, with a market capitalization of roughly $422.7 billion and a high PE ratio of 150.33.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $192.19, although some firms downgraded the stock or maintained cautious ratings amid its elevated valuation and rising Treasury yields.

Palantir Technologies Inc. (NASDAQ:PLTR - Get Free Report) insider Alexander Karp sold 492,348 shares of the business's stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $174.79, for a total transaction of $86,057,506.92. Following the completion of the sale, the insider directly owned 6,432,258 shares of the company's stock, valued at $1,124,294,375.82. The trade was a 7.11% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 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.

Palantir Technologies Stock Performance

Shares of PLTR traded down $4.05 during midday trading on Monday, hitting $175.89. 35,028,807 shares of the stock traded hands, compared to its average volume of 47,641,380. Palantir Technologies Inc. has a 1-year low of $106.37 and a 1-year high of $207.52. The firm has a market capitalization of $422.67 billion, a PE ratio of 150.33, a price-to-earnings-growth ratio of 2.54 and a beta of 1.59. The business's 50 day moving average price is $138.90 and its two-hundred day moving average price is $140.69.

Palantir Technologies (NASDAQ:PLTR - Get Free Report) last released its quarterly earnings results on Monday, August 3rd. The company reported $0.41 earnings per share for the quarter, beating analysts' consensus estimates of $0.34 by $0.07. The company had revenue of $1.94 billion for the quarter, compared to analysts' expectations of $1.81 billion. Palantir Technologies had a return on equity of 30.57% and a net margin of 49.01%.The business's revenue for the quarter was up 92.8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.16 earnings per share. As a group, equities research analysts forecast that Palantir Technologies Inc. will post 1.27 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of PLTR. Basepoint Wealth LLC acquired a new stake in Palantir Technologies in the 4th quarter valued at approximately $29,000. Cornerstone Financial Management LLC bought a new stake in shares of Palantir Technologies in the fourth quarter valued at approximately $31,000. Wexford Capital LP bought a new stake in shares of Palantir Technologies in the third quarter valued at approximately $36,000. Prudent Man Investment Management Inc. acquired a new stake in shares of Palantir Technologies in the fourth quarter worth $35,000. Finally, Monetary Solutions Ltd acquired a new stake in shares of Palantir Technologies in the fourth quarter worth $36,000. Institutional investors own 45.65% of the company's stock.

Analysts Set New Price Targets

Several research analysts have issued reports on PLTR shares. Cantor Fitzgerald initiated coverage on shares of Palantir Technologies in a research report on Tuesday, August 4th. They issued an "overweight" rating on the stock. Oppenheimer downgraded shares of Palantir Technologies from an "outperform" rating to a "market perform" rating in a research note on Tuesday, August 4th. HSBC cut shares of Palantir Technologies from a "buy" rating to a "hold" rating and reduced their target price for the company from $205.00 to $151.00 in a research note on Friday, May 1st. Royal Bank Of Canada reaffirmed an "underperform" rating and issued a $90.00 price target on shares of Palantir Technologies in a research report on Friday, July 31st. Finally, Benchmark reiterated a "hold" rating on shares of Palantir Technologies in a research note on Tuesday, August 4th. Two research analysts have rated the stock with a Strong Buy rating, twenty have issued a Buy rating, eleven have assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $192.19.

Key Stories Impacting Palantir Technologies

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

• Positive Sentiment: Palantir’s artificial-intelligence platform continues to attract strong demand from U.S. commercial and government customers. Recent coverage highlights its modular sales model, expanding commercial business and strong government relationships as competitive advantages. PLTR vs. PATH: Which AI-Driven Software Stock is the Better Buy?
• Positive Sentiment: Optimistic analysts and commentators point to Palantir’s accelerating revenue, a reported Rule of 40 score of 155 and the possibility of further gains toward $250. The company’s latest quarter also featured revenue growth of nearly 93% year over year and earnings above consensus estimates. Prediction: Palantir Stock Will Hit $250 on This Date
• Positive Sentiment: Palantir’s reported profitability remains a major attraction: second-quarter net income was approximately $1.06 billion on $1.94 billion of revenue, implying a roughly 55% net margin. However, coverage notes that interest income and other non-operating factors contributed materially to that figure. Palantir Keeps 55 Cents of Every Revenue Dollar as Profit
• Neutral Sentiment: Palantir’s stock has risen about 46% in August following its earnings report, leading investors and analysts to debate whether its strong fundamentals justify buying after the rally. Technical coverage says the shares remain in or near a buy zone but suggests waiting for a better entry point. Palantir has been on a tear this year. Two numbers signal investors should protect their gains
• Negative Sentiment: Rising long-term Treasury yields are pressuring high-multiple growth stocks. With Palantir trading at a very rich earnings multiple, investors may be reassessing the valuation and the present value of its future profits. Treasury Yields Are Surging Again: 3 Stocks That Could Feel the Pain
• Negative Sentiment: Cathie Wood’s investment firm reportedly sold about $27.2 million of Palantir shares after the rally. The sale adds near-term supply and reinforces concerns that some investors are locking in gains at stretched valuations. Cathie Wood Dumps $27.2 Million of Palantir Stock After 43% Rally

Palantir Technologies Company 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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