To The Moon

$Palantir Technologies Inc.(PLTR)$  Unlike many AI rivals, Palantir is profitable and growing revenue rapidly.

Macro concerns are leading investors to sell out of tech, and Palantir's stretched valuation is making things worse.

Palantir stock carries a sales multiple that far exceeds OpenAI's, despite OpenAI's substantially higher rate of sales growth.

10 stocks we like better than Palantir TechnologiShares of Palantir (NASDAQ: PLTR) are falling once again. The stock is down 5% so far on Wednesday after falling nearly 8% yesterday. The drop comes as the S&P 500 lost 0.5% and the Nasdaq Composite lost 1.2%.

The AI-powered company is seeing its share slide as part of a larger sell-off in tech, as concerns over the health of the economy mount. Given its sky-high valuation, Palantir's stock is getting hit especially hard.Among the companies that actually take artificial intelligence (AI) and apply it in the real world, Palantir has been a notable standout, delivering massive revenue and earnings growth while rivals like C3.ai and BigBear.ai are still operating deep in the red and seeing their sales stagnate.That's led investors to pile into Palantir stock, which has reached an astronomical valuation of nearly 500 times earnings. That's not a particularly sustainable valuation, and as concerns mount after recent jobs data showed a slowing economy, many investors are rotating out of riskier tech stocks sitting near record highs.Palantir was also the target of a short report from one of the most prominent short sellers on the market, Citron Research, which pointed out that after OpenAI's latest funding round, it is valued at roughly 17 times its sales. Palantir's stock carries a price-to-sales (P/S) multiple nearly seven times that of OpenAI -- the company at the very heart of the AI boom. Citron believes this is not rational.

I agree. Palantir may be firing on all cylinders, but its stock is disconnected from reality, and until it comes back down to earth, I would not invesBefore you buy stock in Palantir Technologies, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Palantir Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list ont.