Palantir shares fell 6.2% on June 3 after Michael Burry renewed his short, calling it a "sand castle" trading at 16 times his intrinsic estimate. A UK committee urged canceling the £330 million NHS contract as shares test the $150–160 range and remain down 14% YTD.
Michael Burry renewed his short position in Palantir on June 2, characterizing the stock as a "sand castle" propped up by AI narratives and highlighting a head-and-shoulders topping pattern. He estimates the shares trade at roughly 16 times his intrinsic value calculation, signaling his conviction that current pricing lacks sufficient fundamental backing.
A UK parliamentary committee recommended canceling Palantir's £330 million NHS data analytics contract, which includes an exit option for the healthcare organization in February. This action threatens a significant public sector revenue source and underscores growing scrutiny of Palantir's government partnerships.
After the June 3 drop, Palantir shares are probing the $150–160 support zone closely watched by technical traders for directional cues. The stock remains down approximately 14% year to date, despite a brief rally from the $130–140 area, as investors assess catalysts for a sustained rebound.
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