Is Palantir Stock Still A Buy? Q3 Review and Q4 Outlook

Palantir’s stock price journey in the third quarter of 2025 was both extraordinary and turbulent. While share value soared above $190 in mid-August, a subsequent decline diminished some of those impressive gains as investors reassessed the tech company’s AI-driven momentum.

Key Takeaways:

  • Palantir’s stock rose over 100% year-to-date in 2025
  • Shares peaked at more than $190 in mid-August
  • A 6-day losing streak led to a 12%–16% drop
  • Palantir trades around $157 as Q3 concludes
  • Investor sentiment on AI’s potential remains mixed

Introduction

Palantir Technologies had a roller-coaster ride in the third quarter of 2025. After soaring more than 100% since the beginning of the year, the company’s stock reached an unprecedented high, only to face a correction that raised questions about the sustainability of its AI-centered rally.

Q3 Surge

In mid-August, Palantir’s stock price hit a record-breaking level, topping $190. This dramatic climb, driven by stronger-than-anticipated earnings and widespread enthusiasm over the company’s positioning in the artificial intelligence market, gave investors a flurry of optimism. Many viewed Palantir’s blend of data analytics and AI solutions as a potentially transformative force across industries.

The 6-Day Losing Streak

Despite the lofty peak, Palantir’s share price reversed course, posting a 6-day losing streak during which the stock slipped by 12% to 16% from its highs. This correction indicated that market exuberance over AI might not be infallible. Although Palantir remained well above its levels from the start of the year, the downturn revealed volatility lurking behind its recent gains.

Current Position

Toward the end of the quarter, Palantir settled at about $157. The pullback has tempered some investor sentiment, prompting renewed caution about the rate at which AI-focused companies can continue to deliver returns. However, the stock’s overall performance still outpaces many of its peers, reflecting lingering optimism about its long-term potential.

Price Highlights

Below is a snapshot of Palantir’s approximate stock prices at different points in Q3:

Date/Period Stock Price
Mid-August Over $190
Late Q3 About $157

Though the dip between these price points is substantial, it remains a notable leap from earlier in the year, when the stock was valued at far lower levels.

Looking Ahead

As the market transitions into the fourth quarter, questions persist about whether Palantir can regain its upward momentum. While the year-to-date rise still captures investor attention, the recent losses hint at the risk of relying solely on AI-driven hype. Analysts continue to monitor how the company adapts its strategies and whether the broader tech market’s enthusiasm for artificial intelligence endures.

Palantir’s Q3 journey underscores a central truth of stock investing: even the most promising technologies can face growing pains, corrections, and unpredictability. How investors weigh the company’s fundamental business performance against the evolving AI landscape will likely shape Palantir’s trajectory in the months to come.

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