P alantir stock plunged 7.3% on Thursday after investor Michael Burry posted on X that AI startup Anthropic is "eating Palantir's lunch."
Related Brief 2d ago
ai valuation Anthropic captures 73% of new enterprise AI spending as Palantir loses ground
Nearly one in four businesses on the financial platform Ramp now pay for Anthropic. A year ago, this figure stood at one in 25. This shift is driven by the the plug-and-play AI tools that businesses can integrate faster than the complex systems provided by Palantir. According to investor Michael Burry, 73% of new enterprise AI spending is going to Anthropic, with 73% of new paying customers choosing Claude over OpenAI. Anthropic's annual recurring revenue surged from $9 billion to $30 billion in just months, a pace that contrasts with Palantir's 20-year climb to $5 billion in revenue. Over the same period, OpenAI experienced a 1.5% decline in business customers. Palantir shares fell about 6% on the week's Wednesday. The company trades at a forward earnings multiple well above sector averages.
Anthropic's annual recurring revenue has surged from $9 billion to $30 billion since the start of the year. The market's reaction to thesequence of events was immediate, as Anthropic also released a new product focused on multi-agent orchestration.
Related Brief 2d ago
ai investing Enterprise AI Spending Is Pivoting to User-Friendly Models, Not Legacy Platforms
Enterprise AI spending is now favoring platforms that are easy to integrate and scale, not those built on complex, custom architectures. Michael Burry's assessment positions Anthropic as the emerging leader in this shift, overtaking Palantir in relevance. Anthropic's growth stems from rising demand for accessible, scalable AI—exemplified by its Claude model—which aligns with the operational pace of modern businesses. Enterprises no longer want to wait months for tailored deployments; they want AI that works out of the box. Palantir’s model, built on intensive data integration and long deployment cycles, is increasingly misaligned with that need. As companies redirect budgets toward faster, more flexible tools, market valuations will follow. Business Insider reports this transition could redefine growth benchmarks for AI investment.
Despite the market's reaction, Wedbush analyst Daniel Ives maintains a Buy rating and a $230 price target for PLTR stock. Ives argues that Anthropic's growth is not at the expense of Palantir's business, citing specific growth figures.
Related Brief 1d ago
short selling Michael Burry’s Palantir Short Points to a $77 Gap Between Price and His Estimate of Fundamental Value
Palantir stock traded at approximately $127 per share on Friday, more than double Michael Burry’s estimate of its fundamental value. Burry holds long-dated put options on the company with strike prices of $50 and $100, including June 2027 $50 puts and December 2026 $100 puts, and has no plans to exit the position. He believes the stock’s intrinsic worth is well under $50 per share, creating a gap of over $77 between current price and his valuation. The difference underscores a stark divergence between market sentiment and Burry’s assessment. He has maintained this bearish stance since the fall of 2025, rolling the position multiple times. Despite a recent post by President Trump praising Palantir’s “great warfighting capabilities” on Truth Social, the stock remains down about 28% in 2026. Palantir has secured new government contracts and expanded its work with the Pentagon during Trump’s second term, yet Burry sees no justification for its premium valuation.
Palantir's U.S. Commercial division's Q4 2025 revenue grew 137% year-over-year, and its U.S. Government division's top line grew 66%.
Related Brief 1d ago
stock analysis Palantir’s $100 support breaks as war premium unwinds and Michael Burry’s $46 target looms
Palantir’s stock is now tracking toward $100 after breaking below key technical support, as the short-term boost from geopolitical risk unwinds and scrutiny over valuation intensifies. The retreat follows the collapse of the ‘war premium’ that lifted shares earlier this year, when escalating tensions involving Iran raised expectations for increased defense and intelligence spending. Palantir, with its established role in government and military contracts, was a primary beneficiary of that surge. But the announcement of a ceasefire has reversed the narrative, cooling speculative demand and exposing underlying concerns. Michael Burry’s public critique amplified the shift, drawing attention to Anthropic’s rapid revenue growth and questioning whether Palantir can justify its premium valuation amid rising competition. His $46 price target now looms as a bearish reference. Even as the company reports strong revenue across commercial and government segments, the market is no longer rewarding growth without clear paths to profitability. Investor focus has pivoted to capital efficiency, and Palantir’s reliance on government contracts introduces added sensitivity to political and budgetary cycles. Technically, the breakdown below the 50-week simple moving average has shifted momentum, with former support levels now acting as resistance. A failed rebound at the 100-day moving average near $155 confirmed selling pressure, and a break below the 200-day moving average would clear the way for a retest of $100 as the next major downside threshold.
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