Just saw something interesting about Palantir that caught my attention. The CEO Alex Karp has been dumping shares hard - we're talking $2.2 billion sold over the last three years. And this is while he's publicly going after short-sellers and calling out market manipulation. That disconnect is worth paying attention to.

Don't get me wrong, Palantir's fundamentals look solid. Their AI decisioning platform is genuinely impressive - Gotham and Foundry are doing some serious heavy lifting in the enterprise space. Last quarter they crushed it: 70% revenue growth, customer count up 34%, and that Rule of 40 score hit 127%. That's basically unheard of for software companies. Morgan Stanley's calling them the emerging standard in enterprise AI, and honestly the numbers back it up.

But here's where it gets weird. The stock is trading at 74 times sales. That's not just expensive - it's the most expensive thing in the S&P 500 by a massive margin. AppLovin is second at 30x. Even after being down 37% from highs, Palantir could lose half its value and still be the priciest stock in the index.

What really made me think about this was when Michael Burry - the guy who famously shorted the housing market - disclosed a significant short position in Q3 2025. Karp immediately shot back calling it market manipulation, which is... interesting timing given how much stock he's been selling himself. Burry's net worth speaks to his track record on these kinds of contrarian calls, and while I'm not saying he's right, it's at least worth considering why someone with his history would be betting against a company with such strong growth.

I think the CEO's selling is telling you something. Insiders sell for all kinds of reasons, sure, but $2.2 billion over three years while publicly defending the stock? That feels like a warning. The risk-reward profile here is definitely skewed the wrong way. Strong business, terrible valuation. Maybe time to take some profits if you're holding a big position.