Michael Burry Targets Palantir's Valuation (Again) As Stock Drops After Earnings

Benzinga05-06 03:22

Palantir Technologies Inc. (NASDAQ:PLTR) shares tumbled Tuesday, giving Michael Burry fresh ammunition in his latest shot at the software and defense-AI favorite.

  • PLTR stock is down after earnings. See the price action here. 

The company’s stock was down roughly 7% to $135.69, leaving it with a market capitalization of about $310.9 billion.

But Burry's point was not just about the day's drop. It was about the scale of expectations still embedded in Palantir's valuation.

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In a post on X, Burry said that at roughly $137 per share and a fully diluted market cap north of $350 billion, investors could instead buy Northrop Grumman (NYSE:NOC), General Dynamics (NYSE:GD) and Lockheed Martin (NYSE:LMT), with enough left over for L3Harris (NYSE:LHX). 

$PLTR at $137 and with that $350+ billion fully diluted market cap you can still buy Northrop Grumman $NOC, General Dynamics $GD and Lockheed Martin $LMT, and have enough left over for L3Harris $LHX. Or you could buy every single one of my 38 GameStop $GME acquisition… pic.twitter.com/WhNHK83S3r

— Cassandra Unchained (@michaeljburry) May 5, 2026

Those are not speculative startups. They are some of the most entrenched U.S. defense contractors, with decades of Pentagon relationships, enormous backlogs and hard-asset industrial footprints.

At current market values, Northrop, General Dynamics and Lockheed together are worth about $290.4 billion, according to Benzinga Pro data. 

Add L3Harris and the group comes to roughly $346.6 billion, close to the fully diluted figure Burry used for Palantir. 

His comparison frames Palantir not merely as expensive against software peers, but as priced like a full basket of America's defense-industrial heavyweights.

Burry added a GameStop Corp. (NYSE:GME) reference and sharpened the jab. He said that investors could buy all 38 of his previously mentioned GameStop acquisition alternatives, plus Lockheed Martin instead. 

In other words, he is arguing that Palantir's valuation has become so large that it can be compared to entire strategic shopping lists, not just single companies.

The critique lands at a sensitive moment. Palantir bulls see the company as a rare pure-play winner in AI, government software and commercial automation, with a narrative that combines national security, data infrastructure and enterprise productivity.

Bears, including Burry, appear focused on whether that story has already been more than priced in.

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Price Action: Palantir stock was down 7.05% at $135.72 at the time of publication Tuesday, according to Benzinga Pro data.

This image was generated using artificial intelligence via Gemini.

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