Palantir Technologies Inc (NYSE: PLTR) is set to announce its third-quarter earnings on Monday. Wall Street anticipates the data analytics company will report earnings per share of 9 cents and revenue of $701.13 million, with the results expected to be released after market hours.
Cathie Wood has reduced her stake in Palantir, with Ark Invest selling 227,699 shares valued at $9.46 million just days before the company's third quarter earnings report.
Ark Invest's regulatory filings, based on trades made on Friday, Nov.1, reveal continued slimming in its stakes in both Palantir and Tesla, fueling speculation about Wood's cautious outlook on growth stocks.
Palantir stock is up 126.11% over the past year, 152.83% YTD.
Let's look at what the charts indicate for Palantir stock and how the stock currently maps against Wall Street estimates.
Palantir Stock Bearish Short Term Ahead Of Q3 Earnings
Palantir stock is experiencing a moderately bearish trend with slight selling pressure as it trades at $41.92.
The short-term technical indicators flash caution: Palantir stock is trading below its eight-day Simple Moving Average (SMA) of $43.43 and its 20-day SMA of $43.00, both signaling a bearish sentiment.
However, the stock shows resilience over longer timeframes, as its 50-day SMA at $38.18 and 200-day SMA at $27.60 place Palantir stock in bullish territory.
The Moving Average Convergence Divergence (MACD) indicator of 1.26 also leans bullish, while the Relative Strength Index (RSI) at 53.06 suggests the stock is currently neither overbought nor oversold.
Although Palantir stock faces short-term selling pressure, its long-term indicators hint at potential upside momentum.
Analyst Sentiment Stays Neutral On Palantir Stock
Ratings & Consensus Estimates: The consensus analyst rating on Palantir stock stands at Neutral with a price target of $23.81. The latest analyst ratings from Mizuho, Wedbush, and BofA Securities suggest an average price target of $41.67 for Palantir stock, indicating a modest upside of 0.64%.
As Palantir prepares to release its third-quarter numbers, investors are left weighing Wood's latest strategic shift against Wall Street's cautious optimism.
PLTR Price Action: Palantir stock closed Friday's trading day at $41.92, up 0.87%.