In an X post made late on February 9, the famous ‘Big Short’ investor Michael Burry revealed he is working on a seemingly bearish analysis of Palantir (NASDAQ: PLTR) stock.
Specifically, Burry posted an image showing a long-term chart for PLTR shares with a head and shoulders chart pattern marked.
In this image, the famous short trader marked the August 2025 high as the left ‘shoulder,’ the late October all-time high (ATH) above $200 as the ‘head,’ and the subsequent mid-December rally as the right ‘shoulder.’
Considering that head and shoulders is a bearish indicator used to determine when a bullish phase is set to reverse for a stock, it should come as no surprise that the next support zone Michael Burry markets as important for Palantir is below $100 – 30% under the press time price of $138.87.
What might be more surprising is that the ‘Big Short’ trader appears not to have confidence that support will hold, as he marked an area slightly above $50 as the landing zone.
Under the circumstances and given the scale of the chart, Michael Burry’s X post about Palantir stock appears to indicate the investor is estimating a PLTR share price crash of as much as 60% before the end of 2026.
Palantir stock price in 2026
Whether or not Burry will be proven correct in his apparent ultra-bearish forecast, it is difficult to dispute that Palantir stock has been on a downturn in recent months.
Despite being up 23.22% in the 12-month chart, PLTR shares have dropped 21.67% in the last six months, and are down 21.88% year-to-date (YTD) to their press time price of $138.87.
Elsewhere, it is evident that other prominent Wall Street analysts do not share Michael Burry’s pessimism regarding Palantir stock.
Wall Street sets Palantir stock price for the next 12 months
Although the overall rating for PLTR equity is a somewhat indecisive ‘Moderate Buy,’ per the data Finbold retrieved from TipRanks on February 11, the balance of revisions in February has been overwhelmingly bullish.
Additionally, the most recent change in the rating and the price target – the one issued by Daiwa’s Shigemichi Yoshizu on February 9, 2026 – moved the needle toward ‘Buy.’
Such a change appears consistent with Palantir’s most recent earnings report, considering it featured strong year-over-year (YoY) growth, a revenue and earnings beat, and was described by CEO Alex Karp as ‘indisputably the best results that I’m aware of in tech in the last decade.’
Still, a modicum of agreement with the ‘Big Short’ investor’s assessment, albeit significantly more measured, might be visible in the fact that the latest revision also saw a 12-month price target downgrade from $200 to $180.
