Palantir shares fall 4% as AI software stocks come under pressure

Palantir shares fell 4 percent as AI software stocks came under pressure, part of a wider sell-off triggered by Meta CEO Mark Zuckerberg's comments that AI agents had not progressed as quickly as expected. The stock's trailing price-to-earnings ratio exceeds 130 times, well above the software sector average, while CTO Shyam Sankar sold about 24 million dollars worth of shares on July 2 under a Rule 10b5-1 plan. The sell-off dragged the S&P 500 down 0.6 percent, the Dow 1 percent, and the Nasdaq 0.5 percent, signalling investor caution on high-multiple AI names.