Michael Burry maintains Palantir short as valuation gap exceeds $77 per share

Palantir stock trades at approximately $127 per share, but Michael Burry believes the company's fundamental value is well under $50. This $77-per-share gap represents the core of Burry's bearish position, which he is maintaining despite a recent boost from President Donald Trump.

Burry disclosed on Substack that he holds $50-strike puts expiring June 17, 2027, and $100-strike puts expiring Dec. 19, 2026. He first established his short position in autumn 2025 and has renewed it on several occasions since.

President Donald Trump recently praised Palantir's "great warfighting capabilities and equipment" on Truth Social, which temporarily lifted the stock from its intraday lows. Despite this, Palantir stock is on track for a 13% weekly decline and has lost approximately 28% of its value in 2026.

Palantir's growth figures are strong: fourth-quarter 2025 revenue was $1.4 billion, up 70% year over year, and U.S. commercial revenue rose 137% to $507 million. The company has guided for $7.2 billion in full-year 2026 revenue. Even with the recent retreat from a high of roughly $200, the stock trades at 142 times expected earnings, the third-highest multiple in the S&P 500.

Burry's bear case is based on the view that Palantir functions as a professional services firm rather than a technology product company, as it embeds engineers at client sites for extended periods. He previously argued that Anthropic is capturing enterprise AI spending at Palantir's expense, pointing to Anthropic's ARR scaling from $9 billion to $30 billion within months, while Palantir took two decades to reach $5 billion in revenue.

Palantir's fundamental value is well under $50 per share.