Michael Burry Stays Short Palantir (PLTR) Stock despite Trump’s Surprise Endorsement

Michael Burry is sticking with his bearish bets on AI firm Palantir (PLTR) and chipmaker Nvidia (NVDA), even after President Donald Trump briefly lifted sentiment. In a recent Substack post, the “Big Short” investor said he still holds long-dated put options on Palantir, including June 2027 $50 puts and December 2026 $100 puts, and made it clear that he is not selling. He first started betting against the company in late 2025 and has continued rolling the position forward. He also revealed that he recently added to his bearish position on Nvidia, choosing options in order to limit his downside risk.

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This comes even as Trump publicly supported Palantir, which helped the stock bounce after a sharp drop. More specifically, Trump praised the company’s military capabilities in a Truth Social post. However, despite that short-term boost, the stock is still down roughly 13% for the week and about 28% in 2026. Because of this, Burry believes that the recent bounce does not change the bigger picture, and he continues to argue that Palantir is “wildly overvalued.” Indeed, he estimates that its true value is well below $50 per share compared to around $127 currently.

However, some investors see Palantir as a potential winner from geopolitical tensions, especially given its strong ties to the U.S. military and intelligence agencies. In fact, during Trump’s second administration, the company has been winning new government contracts and working more closely with the Pentagon, while CEO Alex Karp has stayed engaged with the administration. Even so, Burry is not convinced, and his skepticism has drawn criticism before, with Karp previously calling his bearish bets “super weird.”

Is PLTR Stock a Good Buy?

Turning to Wall Street, analysts have a Moderate Buy consensus rating on PLTR stock based on 14 Buys, five Holds, and two Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average PLTR price target of $194.61 per share implies 53.4% upside potential.