Michael Burry Says Palantir's Books Look More Like a Consultant's Than a Software Company's

Michael Burry, the investor known for his pre-2008 crisis bet, is short PLTR via put options and argues the company's financials resemble a consulting firm more than a software business. Burry points to accounts receivable growing faster than revenue, concentrated customer payments, and deferred revenue ratios that mirror ACN rather than typical software-as-a-service metrics. He believes PLTR could drop from its current $420 billion valuation to below $100 billion. The company reported 93% year-over-year revenue growth, but Burry's thesis centers on the quality of that growth—suggesting PLTR operates more like a services business with project-based revenue recognition than a scalable software platform. The comparison to ACN, a consulting giant, implies concerns about margin structure and recurring revenue predictability. PLTR shares have surged alongside AI enthusiasm, but Burry's position argues the valuation has detached from the underlying business model.