“`html
Palantir Technologies (NASDAQ: PLTR) has seen significant gains this year, rising just behind NRG Energy, which has increased approximately 76% year-to-date. In contrast, Palantir’s growth remains only a few percentage points lower. Hedge fund managers Ken Griffin of Citadel Advisors and Izzy Englander of Millennium Management have notably increased their stakes in Palantir, with Griffin tripling his position to 441,755 shares, and Englander quadrupling his stake to 1,312,758 shares as of Q1 2025.
Despite their investment enthusiasm, Wall Street analysts are skeptical about Palantir’s near-term prospects. A consensus 12-month price target is about 22% below the current share price, with only one out of 25 analysts rating it as a “strong buy.” Concerns mainly center around Palantir’s high valuation, trading at nearly 244 times forward earnings and having a PEG ratio of 4.22, where ratios below 1.0 are typically seen as attractively valued. This disconnect raises questions about the sustainability of Palantir’s stock price in light of its high valuation and expected growth.
Both Griffin and Englander employ options strategies alongside their Palantir investments, although these positions do not represent a large percentage of their overall portfolios. Citadel holds over 5,800 stocks and Millennium has more than 3,900 stocks. The contrasting views between these billionaires and the consensus on Wall Street highlight a potential divergence in expected growth rates for Palantir.
“`
