Palantir Price Squeeze Looms as Short Sellers Face Aggressive Buy Flow
Palantir's stock price has been consolidating at $176.45 on Binance, roughly 15% off its highs, despite a strong Q2 earnings report that showed revenue of $1.935 billion, up 93% year-over-year.
The company's growth rate is matching the hype, with 93% top-line growth and 63% free cash flow margins, which doesn't warrant trading down to Accenture multiples.
Despite bear cases from Michael Burry warning of a potential fall below a $100 billion market cap due to Palantir's deferred revenue ratio, the stock rallied nearly 7% on new Army contract and PwC AI-native platform alliance announcements.
The technicals are saying 'prove it,' with price sitting below both the 7-day SMA ($178.03) and the 20-day SMA ($178.76), indicating a near-term trend rollover from the post-earnings spike.