If one had bought Palantir on Aug. 8, 2022, a $1,000 investment would be worth about $15,700 today. Three years ago, a dramatic pullback from the highs of the 2021 bull market left Palantir trading below $10 per share, the approximate level where it sold on its first day of trading on Sept. 30, 2020.

Palantir Technologies stock (NASDAQ: PLTR) has had a remarkable run this year, more than doubling since early January to trade at around $160 per share. The stock has been buoyed by surging interest in generative AI and a wave of new government contracts following the re-election of Donald Trump as U.

Palantir's stock has delivered extraordinary returns, but its current valuation is extremely stretched, trading at a forward P/E above 200. Read the latest analysis on the stock here.