why is pltr down today?

The stock price of Palantir (PLTR) experienced a decrease of 5.93% on June 5, 2025. The decline of Palantir's stock today can be attributed to a combination of factors:

1. Government Data Collaboration Concerns: Palantir has been facing scrutiny over its data collaboration with the U.S. government. There are concerns among Republican privacy advocates about Palantir's potential involvement in a substantial data-sharing initiative with the U.S. government, which could lead to the creation of an extensive interagency database containing vast amounts of information on American citizens. Critics argue that such a database might effectively serve as a digital identity for individuals, raising significant privacy issues. The possibility of misuse and lack of adequate safeguards to protect personal information has sparked a broader discourse on the need for stringent protections, which could be impacting investor confidence.
2. Overvaluation Concerns: GuruFocus estimates a significant overvaluation with a GF Value of $31.25, indicating a 75.96% downside from the current stock price of $130.01. Such concerns about overvaluation can lead to a decline in stock price as investors reassess the stock's value.
3. Mixed Outlook and Analyst Ratings: Analysts predict a mixed outlook for Palantir with an average price target of $101.21, suggesting a potential downside. The average recommendation from 24 brokerage firms is a "Hold" status, which may not be as optimistic as some investors had hoped for, contributing to the stock's decline.

In conclusion, the decline in Palantir's stock price today is likely a result of a combination of factors including government data collaboration concerns, overvaluation concerns and mixed outlook and analyst ratings.