Why Palantir Stock Is Down Today
A prominent Wall Street analyst is skeptical about how well Palantir Technologies (NYSE: PLTR) will be able to monetize its artificial intelligence (AI) platform, downgrading the stock as a result. Investors are taking notice, sending Palantir shares down as much as 10% on Thursday.
Palantir, a one-time Central Intelligence Agency-funded defense contractor that also developed a commercial business, has built its reputation on its ability to organize and analyze massive amounts of data. The company of late has become a darling of investors seeking exposure to AI, sending Palantir shares up more than 130% year to date.
Morgan Stanley analyst Keith Weiss believes some of the euphoria is overdone. On Thursday, Weiss downgraded Palantir to underweight from equal weight and said the near-term optimism surrounding Palantir's AI product and the stock's valuation creates an unfavorable risk/reward setup for investors.
Source Fool.com
