Palantir shares, which added around $150 billion in market value last year, were a standout performer in the data analytics and AI-tech space as investors bet on the profit potent

Palantir falls as Morgan Stanley assigns an Underweight rating, citing valuation concerns despite strong AI-driven growth and government contracts.

Shares of Palantir (PLTR) dropped more than 5% on Monday as the stock reacted to a new rating from Wall Street. Analysts from Morgan Stanley re-initiated coverage of Palantir with a “sell” recommendation.

Newly minted highs of nearly $85 per share will be far in the rearview mirror as Palantir strikes its way towards a price target of $100 and then $125. All thanks to Wall Steet’s shift to being buyers of the stock. As always, the simplest trade here is a buy and hold strategy.