Technology Stocks Crash: 5 Biggest Losers

4. Palantir Technologies Inc. (NYSE:PLTR)

Number of Hedge Fund Holders: 33

Percentage Decline in Share Price Over Past Month: 18%  

Palantir Technologies Inc. (NYSE:PLTR) develops software products for the intelligence industry. On February 18, Deutsche Bank analyst Brad Zelnick maintained a ‘Hold’ rating on the shares and lowered his price target on them to $15 from $18, pointing out that the company’s aggressive investment plans to sustain its growth and the firm’s underlying organic trends were a cause for investor concern. 

Hedge funds have also been selling Palantir Technologies Inc. (NYSE:PLTR) as the market shifts towards value plays. At the end of the fourth quarter of 2021, 33 hedge funds in the database of Insider Monkey held stakes worth $1.2 billion in Palantir Technologies Inc. (NYSE: PLTR), compared to 35 in the preceding quarter with stakes worth $1.6 billion. 

In its Q4 2020 investor letter, asset management firm Guardian Fund highlighted a few stocks and Palantir Technologies Inc. (NYSE:PLTR) was one of them. Here is what the fund said:

“In October, we bought a stake in Palantir. Earlier, in June, our concentrated Tech Fund, which has a mandate to also buy shares in the secondary market, bought shares of Palantir from insiders, before the direct listing. At the price we bought, the equity had much more upside than downside. Palantir is operating a software platform that functions as the digital infrastructure for data-driven operations and decision making. The software helps to structure and capture context in data of large corporations. Governments are increasingly realizing that they have to deal with serious data challenges and cyber risk. As most governments cannot attract the most talented software engineers, they need private enterprises such as Palantir to help them build solid infrastructure. Foundry, Palantir’s software for enterprises, is used by companiesto make safer cars and airplanes or to accelerate cancer research. The speed to bring new clients on board is improving and revenues will grow faster than expenses. Palantir has a long runway of growth ahead.”