Although Palantir (NASDAQ: PLTR) stock has been under pressure amidst the early 2026 artificial intelligence (AI) sector pullback, Wall Street remains overall bullish regarding the equity.
The most recent showcase of persistent confidence came from Phillip Securities’ Paul Chew, who, on February 16, reiterated his previous ‘Buy’ rating for PLTR shares.
According to the analyst, Palantir’s recent outperformance of expectations, showcased in the latest earnings report, paired with the highly optimistic guidance for 2026 do much to paint the technology giant as a lucrative investment.
Furthermore, the company continues to exhibit the strength of its public and private sector enterprises, and both are expected to continue growing in the ongoing year, with a deluge of government plans to expand AI adoption providing especially strong tailwinds.
Still, the overall positivity did not prevent Chew from acknowledging the 21.71% year-to-date (YTD) pullback to $131.41.
Indeed, the Philip Securities analyst downgraded the 12-month PLTR stock price target from $208 to $190 – from a 62% rally from the press time price of $127.81 to a 48% rally.
Is Palantir stock a ‘Buy’ or a ‘Sell’ amidst Wall Street optimism, market sell-off?
Zooming out reveals that Wall Street is, on average, of a similar opinion to Paul Chew. Palantir stock is generally rated as a ‘Moderate Buy’ and boasts an average $191.25 12-month price target.
That being said, optimism is not universal. Out of the prominent voices, the ‘Big Short’ legend Michael Burry has perhaps been the most bearish about PLTR shares.
On February 9, Burry hinted at a rather bearish $50 price target for Palantir stock, only to publish a generally scathing analysis of the company on his Substack.
Beyond the famed analysts and high-net-worth traders, investors as a collective appear less than confident that Palantir can retain its valuation amidst the growing fears that, even if there is an ultimate AI renaissance, it would be preceded by a catastrophic AI crash.
Nowhere is this more evident than in the fact that Palantir erased $110 billion from its market capitalization in 2026.
Lastly and possibly most concerningly, company insiders themselves might be more bearish than they let on, considering their PLTR stock sales in the last 12 months came in above $1 billion, effectively exceeding the firm’s net income within the same time frame.
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