Here's the whopping amount of stock Palantir CEO Alex Karp has dumped

If outspoken Palantir (PLTR) co-founder and CEO Alex Karp is uber-bullish astir his secretive bundle company, helium isn't showing it successful his trades.

Karp has dumped $45 cardinal worthy of banal successful the past 2 weeks aft unloading astir $2 cardinal successful 2024, caller probe from Jefferies expert Brent Thill reveals. Karp has sold 21% of his wide involvement successful Palantir.

The latest merchantability barrage comes aft Karp precocious adopted a 10b5-1 trading program for the maximum merchantability of 9.975 cardinal shares of Class A communal stock. The trading statement volition past until Sept. 12, 2025.

A program of this benignant allows insiders of nationalist companies to acceptable up a docket to merchantability their shares implicit a play of time.

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Other Palantir insiders person besides been aggressively selling stock, according to Yahoo Finance data.

The flurry of income has sent a antagonistic awesome to the retail capitalist community that has agelong propped up the momentum stock.

Shares person crashed 30% from their 52-week closing precocious connected Feb. 18.

"Among the apical retail-traded stocks, Palantir could beryllium the astir susceptible to a nonaccomplishment of retail momentum. If I were to prime a azygous sanction that could beryllium astir astatine hazard of an unwind, PLTR would beryllium it," Vanda Research elder vice president Marco Iachini said.

The Palantir sell-off besides reflects respective factors.

The Department of Defense is reportedly eyeing an 8% yearly chopped successful spending for the adjacent 5 years. This is simply a imaginable stroke to Palantir, which relies heavy connected authorities contracts. The stock's surge up to its mid-February grounds highs had been driven, successful part, by expectations that the Trump medication would ramp up defence spending.

"As Palantir has dense vulnerability to US authorities spending/budgets determination person been caller Street concerns that this spending backdrop volition beryllium a headwind to this tech stalwarts' maturation illustration successful 2025 and beyond," said Wedbush tech expert Dan Ives.

Palantir further raised caller reddish flags successful its annual report.

The company's headcount grew by conscionable 5% successful 2024 aft declining 3% successful 2023. Over the past 2 years, the institution has added lone 98 employees, Jefferies' Thill estimates.

Second, the company's main accounting officer, Heather Planishek, stepped down connected Feb. 24. The company's CFO, David Glazer, has assumed her responsibilities connected an interim basis.

And third, Palantir continues to overly trust connected its biggest customers for concern — its apical 3 customers accounted for 17% of gross successful 2024.

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