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Michael Burry buys March 2027 puts on Palantir, citing valuation
Palantir’s latest quarter showed 93% year-over-year revenue growth to $1.94 billion, but Burry renewed his bearish position with out-of-the-money puts said to have strikes in the low- to mid-$100 range.
Michael Burry is again expressing a bearish view on Palantir Technologies, announcing in his Substack newsletter that he has bought out-of-the-money put options on PLTR that expire in March 2027, with reported strike prices in the low- to mid-$100 range. MarketBeat Ratings reports that if the bet plays out, PLTR could fall back toward levels seen in late June.
The coverage ties Burry’s renewed puts to two longstanding concerns. First is valuation, with Burry arguing Palantir’s valuation is far above intrinsic value, and he has previously likened it to a “sandcastle.” Second is accounting related to stock-based compensation, where he believes the company is underreporting stock compensation, which he estimates at about $5 billion over the past year.
Despite Burry’s position, the story notes Palantir’s recent results were strong. Following its Q2 2026 earnings report, revenue grew 93% year-over-year to $1.94 billion, U.S. commercial revenue rose 149% to $764 million, and the company closed 220 deals worth at least $1 million.
MarketBeat Ratings also points to cash generation and balance-sheet strength from that quarter, with adjusted free cash flow of $1.22 billion and a 63% margin, plus $9.2 billion in cash and no debt. The piece adds that Burry said he is effectively rebuilding an earlier bearish position he partially covered when PLTR traded near $107 in June.