Investor Michael Burry reiterated his bearish outlook on Palantir Technologies, describing the company as a sand castle supported by AI hype. Burry confirmed his short position remains unchanged in a recent blog post.
The investor identified a head-and-shoulders topping pattern on the stock's chart. He warned that Palantir has reached a crossroads as extremely bullish psychology begins to fade.
Burry first disclosed his short position late last year. Palantir shares have declined approximately 14% year-to-date. The stock fell in premarket trading following the updated warning.