Palantir (PLTR) Plunges 3.75% Amid Citron Criticism

On September 2, 2025, Palantir's stock experienced a significant drop of 3.75% in pre-market trading, reflecting a notable decline in investor sentiment.

Palantir's recent stock performance has been influenced by several key factors. Short-selling firm Citron Research has expressed skepticism about Palantir's valuation, comparing it unfavorably to OpenAI. This criticism has contributed to a decline in investor confidence, leading to a drop in the stock price.

Despite the recent slump, Palantir has historically shown strong revenue growth and stock price performance, which has attracted many investors. The company's data analytics software, particularly its services to the U.S. government and military, has been a significant driver of its success.

Palantir's CEO, Alex Karp, recently sold a substantial amount of stock, which has also impacted market sentiment. This move, coupled with the broader market volatility, has added to the uncertainty surrounding the company's future performance.