Palantir Technologies Inc (NASDAQ:PLTR) shares are trading lower Wednesday as the stock continues to pull back following a strong run in recent weeks. Here's what you need to know.

The drop began after a broader market pullback but escalated fast; short seller Citron Research issued a scathing note that accused the company of being detached from fundamentals and analysis. Citron's Andrew Left compared Palantir's price-to-revenue multiple with OpenAI's recent $500 billion valuation;

The Citron Research bearish call follows comments from OpenAI CEO Sam Altman, who described the AI market as a bubble.

Palantir shares tumbled Tuesday afternoon, extending recent losses as a high-profile short seller fueled worries the stock could be overvalued after a strong run earlier this year.

Investing.com -- Palantir Technologies (NYSE:NASDAQ: PLTR) stock fell 2% Monday morning after short seller Citron Research expressed caution about the company’s valuation for the second time.

A judge in April denied Left’s request to dismiss the SEC suit. Andrew Left, founder of Citron Research, center, exits federal court in Los Angeles, California, US, on Monday, July 7, 2025.

Key Takeaways Palantir shares slid Wednesday to log their sixth straight day of declines, after a short seller raised concerns about the stock's elevated valuation.Yesterday’s move lower coincided with the relative strength index falling into bearish territory,