Palantir (PLTR 6.52%) stock is under pressure again in Wednesday's trading. The company's share price was down 6.2% as of 1 p.m. ET. At the same point in the daily session, the S&P 500 and the Nasdaq Composite were down 0.6% and 0.4%, respectively.
The broader market is heading lower today amid rising oil prices and bond yields, and there are also some company-specific catalysts pushing Palantir lower. Michael Burry weighed in again with another bearish take on the artificial intelligence (AI) and analytics specialist, and the company's deal with the U.K.'s National Health Service (NHS) is also facing scrutiny.
Image source: Getty Images.
Burry is still staunchly bearish on Palantir
In a write-up published yesterday, Michael Burry said that Palantir stock is at a "crossroads" on the heels of trading along a head-and-shoulders technical analysis pattern. Burry highlighted the company's highly growth-dependent valuation as a risk factor and said that his bearish stance on the stock remained unchanged. Famous for calling the 2008 financial crisis, Burry is an investor whose words carry a lot of weight in many financial circles.
NASDAQ: PLTR
Key Data Points
Is Palantir on track to lose a significant contract?
Some members of the British parliament have recently advocated for the cancellation of a deal between Palantir and the NHS. The U.K. parliament's Science, Innovation, and Technology Committee recently published a report naming Palantir as "the most concerning example" of the government becoming increasingly reliant on a handful of tech companies. The committee recommended backing out of the deal, which is valued at 330 million British pounds -- or about $443 million as of this writing.
While the deal with the NHS has an initial commitment period, the healthcare organization will have the opportunity to exit the deal this coming February. There's no guarantee that the NHS will back out of the arrangement, but there's a risk that Palantir could face some significant setbacks in the U.K. market.
