Michael Burry Maintains Bearish Stance on Palantir Despite Trump Endorsement

Michael Burry, the investor known for predicting the 2008 financial crisis, has reaffirmed his bearish outlook on Palantir Technologies (PLTR). In a recent update, Burry disclosed that he is maintaining long-dated put options on the AI software company, despite a temporary price lift following a public endorsement from President Donald Trump. Burry's strategy involves betting on a significant price correction, arguing that the stock remains wildly overvalued after peaking near $200 last year. While the company has seen increased government engagement and new Pentagon contracts under the current administration, Burry believes the market has decoupled from the company's intrinsic value. Specifically, Burry holds put options with a $100 strike price expiring December 19, 2026, and $50 strike price options expiring June 17, 2027. He estimates the fundamental value of Palantir to be well under $50 per share, a stark contrast to its recent trading price of approximately $127. The stock has faced recent headwinds, recording a roughly 13% decline over the past week and a total loss of about 28% for 2026. Although a Truth Social post from President Trump praising Palantir's warfighting capabilities provided a brief rally, the stock continues to trend lower alongside other software equities. Palantir's CEO Alex Karp has previously dismissed Burry's bearish wagers as irrational. However, the company remains a key player in U.S. military and intelligence operations, particularly amid ongoing tensions involving Iran.