Meme stock traders ecstatic after Palantir teases Ukraine war implication
You might be surprised to learn that Palantir, a company that helps ICE separate and deport families with its technology, is one of the most popular meme stocks traded by online retail investors. For this reason, online merchants celebrate new ICE contractsfor example, and now some are thrilled that the company is showing up in the midst of the Russian-Ukrainian war.
The surveillance software company co-founded by far-right billionaire Peter Thiel and self-proclaimed progressive CEO Alex Karp has been the darling of communities like Reddit’s WallStreetBets for almost two years now – the subreddit refers to Karp as “Papa Karp” and is flooded with a litany of memes celebrating its various peaks, lamenting the crashes and mocking anyone who didn’t invest at the right time.
On June 2, Karp became the first chief executive to meet Ukrainian President Volodymyr Zelenskiy since Russia invaded the country three months ago. Mykhailo Fedorov, Ukrainian Minister of Digital Transformation, posted a photo of the meeting and confirmed in a tweet that Karp was not only the first CEO to visit since the invasion, but demonstrated “impressive support and faith in the credibility of investments: agreement on opening offices and digital support of the army”.
As for what that actually means, it’s not entirely clear. “Dr. Karp and President Zelenskyy discussed how Palantir can continue to use its technology to support Ukraine. ‘have never been more important,” Palantir told Bloomberg in a statement.
Marketers on Twitter were excited by the news, congratulating the company on the move. “$PLTR LEADER makes LEAD. $PLTR makes me proud to be a shareholder”, a user replied to Fedorov’s tweet. Another user was even more excited: “That’s why I invest myself in palantir!!! I buy the dip all the way down!! »
A similar feeling took over Youtube in the comments of a merchant’s visit summary. “It makes me proud to be a shareholder. I love this company,” replied a commenter on Youtube. Others could barely hide their excitement, with only one answer: “PALANTIR TO THE MOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO… to…
Meme stocks conjure up images of young, extremely online traders jostling to shoot the company’s stock price to the moon, or crash it down like a meteorite. This picture is largely correct: meme stocks are best thought of as stocks that are incredibly popular with a specific group of extremely online marketers – Gamestop, AMC Entertainment and Tesla – and sentiment-based trading that can be followed via social media and are incredibly news-sensitive.
When short seller Citron Research announced it was short selling Palantir, the WallStreetBets subreddit went into a frenzy and proudly doubled down on their favorite stock in an effort to boost its stock price. Investors helped lift the stock from its $10 IPO price to $50, but were devastated by the stock’s steady decline: it currently sits at $8.90. Back in June 2021, Motherboard talked to traders who lost tens of thousands of dollars – some reportedly lost all of their life savings, others in the community reported six-figure losses that threatened to ruin their entire lives.
Now Palantir contracts are closely followedPapa Karp’s words are scrutinized closelyand his each movement considered as retailers decide to pump or dump stock.
Naturally, WallStreetBets was less optimistic about Ukrainian news than Youtube and Twitter. ‘The only thing worse than Ukraine is my PLTR bags,’ said trader replied to a Reddit post announcing the visit and insisting it would be good for the stock since Palantir could position itself for more contracts thanks to increased defense spending and aid.
Other investors stepped in when there were attempts at optimism. “Hahaha really…… Are you so desperate….. Pltr is a penny stock, nothing else”, another Redditor said in response to an attempt at analysis how Palantir stock (about $9.30 at time of visit, currently $8.90) could benefit.
Others simply warned traders not to touch the stock, still licking their wounds after last year’s failed attempt to pump the price. “Please, for the love of everything, WSB, stay away from this,” a Redditor added. “Just let this company do its thing, get it[s] contracts over the years and not make a meme out of it again. We all know what happened last time.”