PLTR Stock's Worst Week In A Year Gets A Cathie Wood Buy Amid Trump Endorsement

• PLTR slid nearly 14% last week, its worst showing in a year.
• Donald Trump praised Palantir’s technology for powering the U.S. defense capabilities.
• Stocktwits sentiment for PLTR has improved to ‘extremely bullish.’

Cathie Wood-led Ark Investment Management bought more shares of Palantir Technologies on Friday, as the stock capped its worst week in a year, even as President Donald Trump endorsed the AI data analytics firm for its role in U.S. defense.

Wood’s ARK Invest acquired 85,485 shares of Palantir, valued at approximately $11.15 million, underscoring continued interest in the firm despite recent weakness. Notably, ARK reduced its position in Advanced Micro Devices, selling $10.5 million worth of stock in the latest series of trades.

To be sure, Wood hasn’t been “bullish buy-only” on Palantir, but has been actively trading around the position, trimming into strength and adding on weakness.

Ark made Friday’s Palantir trades on its ARK Innovation ETF, ARK Autonomous Technology & Robotics ETF, ARK Next Generation Internet ETF, ARK Fintech Innovation ETF and ARK Space Exploration & Innovation ETF funds. 

Trump Lauds Palantir

Meanwhile, Trump lauded Palantir in a post to Truth Social on Friday. “Palantir Technologies (PLTR) has proven to have great war fighting capabilities and equipment,” Trump posted. “Just ask our enemies!!!”

The U.S. military is reportedly utilizing Palantir’s Maven Smart System platform to identify targets in the Middle East, tied to strikes on Iran that began in late February. Palantir counts on the government, including the Pentagon and Immigration and Customs Enforcement, for more than half of its U.S. revenue, according to CNBC.

As the conflict escalated, Palantir quickly became a key name on investors’ radar. However, the momentum reversed sharply last week, with PLTR tumbling nearly 14% – its worst performance in a year – as a temporary U.S.-Iran deal signaled a potential de-escalation of the war. 

The war is still not over, though. The U.S. said on Sunday that it would begin a blockade of ships entering or leaving the Strait of Hormuz, after U.S.-Iran ceasefire talks in Pakistan ended without an agreement, a development that would likely weigh on global markets as they open in the new week.

Retail View On PLTR Improves

On Stocktwits, the retail sentiment for PLTR climbed higher and was ‘extremely bullish’ as of late Sunday. Still, traders remained deeply divided, with bulls pointing to the company's deepening entrenchment in critical government defense contracts, while bears question the sustainability of its premium valuation and the impact of the evolving AI landscape.

“$PLTR If you haven’t figured it out by now, Trumps pltr tweet was a last chance “buy the dip” signal! It can’t get any clearer, people,” one said.

Another wrote: “blowout earnings in 16 trading days. War is still going on. AI boom is still very much underway. Exponential growth. No debt. No close competition. CEO has Einstein hair.”

Palantir has yet to set a date for its first-quarter results announcement. It typically happens in the first week of May.

Michael Burry Complicates PLTR Trade

Palantir trades have been complicated by a short campaign from investor Michael Burry, a closely watched market voice best known for predicting and profiting from the 2008 financial crisis.

Last week, he put out a questionable view that Palantir was losing software market share to Anthropic. He later deleted those posts.

Burry is short on Palantir, a position he disclosed last September, and has repeatedly voiced concerns over the company’s business, including alleged inflated accounting and high spending on private jets by its chief executive, Alex Karp.

With last week’s slide, Palantir shares are down 28% year-to-date.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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