Alexander Karp, CEO and Director of Palantir Technologies (PLTR) sold shares worth $66 million on November 20 and 21. This sale was part of a broader insider selling trend, with four other executives offloading nearly $162 million in stock. The heightened insider activity has raised concerns among retail investors, especially amid ongoing volatility in AI-related stocks. Over the past month, Palantir’s shares have declined about 14%, despite a strong 114% gain year-to-date.
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Alongside Karp, President and Secretary Stephen Cohen sold shares worth $56.73 million. CFO David Glazer sold $2.86 million shares, Chief Revenue Officer Ryan Taylor sold $9.12 million, and CTO Shyam Sankar sold $27.55 million in PLTR stock. Most of these insiders executed pre-planned transactions, including option exercises and scheduled sales under Rule 10b5-1 plans.
Palantir’s software combines data from different sources and provides AI-powered insights and predictions for data-driven decision-making. The company has gained prominence this year, mainly due to its rapid growth as a leading AI software provider, shifting focus from being mostly a government software contractor to expanding its AI-driven platforms for commercial use.
Should Palantir Investors Be Concerned?
Although Palantir’s business model is sound and has a solid potential, its valuation remains notably high. PLTR trades at a price-to-earnings (P/E) ratio of 362x, significantly higher than the sector median and its own five-year average. Shares peaked near $207 in early November 2025 but have since fallen roughly 25% amid profit-taking and skepticism about AI hype.
This decline began after renowned “Big Short” investor Michael Burry disclosed a bearish put against PLTR stock worth millions. Burry has frequently criticized AI companies for their accounting practices, particularly regarding hardware depreciation and profit inflation. This has led to an exaggerated fear among investors about an AI bubble, especially since many of his prior predictions proved accurate.
Insider share sales usually indicate caution about a company’s future, but can also happen for personal reasons. Hence, it is important to watch these trades for clues on the company’s growth expectations.
Does Palantir Have a Future?
Analysts prefer to remain sidelined on Palantir Technologies stock due to the ongoing concerns. On TipRanks, PLTR stock has a Hold consensus rating based on three Buys, 11 Holds, and two Sell ratings. The average Palantir Technologies price target of $187.87 implies 15.8% upside potential from current levels.
