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pltr lockup period

Get pre-market outlook, mid-day update and after-market roundup emails in your inbox. Palantir Technologies Inc (NYSE: PLTR) shares came under pressure Thursday, extending the stock's losses for a sixth straight session. Furthermore, the impact of PLTR's lock-up is reviewed in relation to companies that have IPO'ed. Palantir logo on the New York Stock Exchange. Palantir Technologies (PLTR) has been on a rampage since it went public on September 30th. When a company goes public through a traditional IPO, it usually sets a lock-up period of 90 to 180 days during which insiders can't sell their shares. That said, if you bought in at $39 and again PLTR is trading at $40, then a 3% price decline would equal out to $38.80, and by conservative estimates a 15-20% decline would equal out to $32-$34. Why is that? The idea here would be to not buy so close to the lock-up expiration and instead wait for it to happen before buying in … assuming you haven’t already bought in to where you’ve established a big enough cushion between your buy-in price and where the stock is currently trading at after factoring in a 15-20% decline. The lockup period for Palantir stock is set to expire a few days after the fourth-quarter earnings release. Basically, the lock-up period on the remaining 80% of insider shares is in effect right now and will end on the third trading day after Palantir’s next earnings call (which should take place in February or March 2021). Citi analyst Tyler Radke warned of a potential fall due to the lockup expiration in a … "This will make approximately 1.8 billion shares available for sale, representing roughly 80% of outstanding shares," William Blair analyst Kamil Mielczarek said in a note. Let’s consider a few possible scenarios first. Palantir's (NYSE:PLTR) direct listing in September unusually included a lockup period, which expires today. If you were a PLTR employee and you wanted cash instead of your PLTR shares, you could have sold out 20% of your position before the direct listing. Palantir stock declined by about 13% in Tuesday’s trading and is down by almost 25% over the last 5 trading days. A lockup period is a contract that states there is a period after a company goes public when the major shareholders are not allowed to sell their shares. 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For short-term bullish positions, you should sell before the earnings call (remember, this is a standard trading rule … sell before earnings) and then wait to see what happens once the lock-up period expires three trading days after the earnings call before initiating another short-term position. The sell-off is largely driven by a mixed December quarter earnings report. A daily collection of all things fintech, interesting developments and market updates. Subject to the terms of the Lock-up Agreement and excluding all shares of our Class F common stock, substantially all of these shares may be immediately sold either by the Registered Stockholders pursuant to this prospectus or by our other existing stockholders under Rule 144 since such shares held by such other stockholders will have been beneficially owned by non-affiliates for at least … Palantir (NYSE: PLTR) stock declined by about 13% in Tuesday’s trading and is down by almost 25% over the last 5 trading days. The early ones have already seen their lockup periods expire. NYSE:PLTR has had a rough week, to say the least, as a mixed quarterly earnings report and the expiration of its IPO lockup period has caused shares to plummet. Mixed Stance On Palantir From Funds: Soros Fund Management, which was among the earliest investors in Palantir, said following the listing it had sold all the shares it was permitted to sell and will continue to sell. So, it is quite possible that not a lot of selling will occur once the lock-up period expires if PLTR insiders have already sold off what they wanted to sell off. For those of you who are invested in or are trading Palantir Technologies, you'll want to read this write-up on how to play their upcoming lock-up expiration. So, if you bought in lower than the $32 threshold, then you’re probably less inclined to fear the sell-off than you would be if you had bought in at $39. You can change your cookie choices and withdraw your consent in your settings at any time. Palantir Stock (PLTR): Lockup Period and … Insiders were only allowed to sell 20% … But the biggest ones still await their lockup fate. Palantir Technologies Inc (NYSE: PLTR… However, keep in mind that just because the lock-up period ends and more shares are available to the public does not necessarily mean that insiders will sell. Palantir Technologies had issued 257,135,415 shares … Palantir Technologies had issued 257,135,415 shares in … It comes down to expectations about the future outlook for Palantir since we don't know if selling is profit taking or hedging against the fear of a big loss. I won’t go into detail on the differences here, but just know that we all benefitted by PLTR going DPO instead of IPO. But I think it's only appropriate with Palantir's IBM deal, upcoming earnings and expiring lockup period there must be a single place for Palantir investors (and non-investors) to gather. The number appears mammoth when compared to the average three-month trading volume of 74.33 million shares. At the end of the day, there is no way to know for sure what is going to happen upon the lock-up expiring. If you’re playing it bearish you’ll want to initiate your short or put position before the lock-up period expires so that you can take advantage of the possible sell-off. Palantir shares, which ended their debut session at $9.50, began a leg up in late October. Many of you have been asking what a lock-up period is. Select Accept cookies to consent to this use or Manage preferences to make your cookie choices. A lock-up period (also known as a lock-up agreement) is a period of time (usually between 90-180 days) when investors are not allowed to buy or redeem shares. Shanthi Rexaline, Benzinga. Disclosure: I am long PLTR by owning both shares and options. Based on this SeekingAlpha article, the author thinks that about 497 million shares of PLTR are outstanding. The future "lock-up expiration dip" might still be well above your buy-in price of $15 or $23 or $30 (assuming the stock is trading at $40). Palantir Technologies (PLTR) has been on a rampage since it went public on September 30th. Lockup Expiration and What It Means for PLTR Stock When a firm goes public, the owners tend to sell roughly 15%-20% of the company. Noam Galai/Getty Images. The lockup usually lasts between 90 and 180 days. Gobble! A direct listing doesn't mandate a lock-up period, unlike an initial public offering. Posted-In: News Top Stories Tech Best of Benzinga, Thank you for subscribing! 4 Palantir Analysts Debate Data Analytics Company's Mixed Q4, Eye End Of Lockup Period. Although a DPO does not require a lock-up period, Palantir is unique in that is has instituted this period anyways. Investors might want to handle Palantir cautiously for now. For more information, see our Cookie Policy. Citi … This nugget of insight about the upcoming Palantir Technologies (PLTR) lock-up expiration, what it means, and how to go about playing it. Another thing to note is that your investing/trading decision depends on where the stock price is trading at upon the lock-up expiration. I wrote this article myself, and it expresses my own opinions. Based on feedback and comments I've received, the number one concern about Palantir for most investors is the lock up expiration. They were allowed to sell up to 20% of their holdings. The remaining 80% was not to be freed up for liquidation until after the release of Palantir's fourth-quarter results. What is the PLTR Lock-Up Period Palantir Technologies (PLTR) has been on a rampage since it went public on September 30th. Although, Palantir had an active secondary market, so anyone desperate to sell could have already unloaded their shares in the private market prior to going public. By using this site, you agree to this use. Palantir Technologies had issued 257,135,415 shares in its IPO on September 30th. © 2021 Benzinga.com. It is not unusual to see a stock's share price fall on the first day that the locked-up shares can be traded. A unique "pressure release valve" is explained which could somewhat mitigate the impact of the lock-up expiration. Palantir's (NYSE: PLTR) direct listing in September unusually included a lockup period, which expires today. Don't have a Benzinga account? There are two key factors that investors need to pay attention to. For example, if you bought in at $15 and the stock is trading at $40 by the time the lock-up period expires, then you are probably less worried since a sell-off would have to have more than a 50% correction in the stock price to get back down to $15, and that is probably highly unlikely to happen. Further play will be much driven by earnings and lock-up period expiration on Feb 16 or 17. Could it happen … sure … but will it happen … I confidently don’t think it will. Options Strategies. 16, 2021 - Only Buy Palantir Stock If You Have the Patience to Hold It Investorplace.com - investorplace.comOnly Buy Palantir Stock If You Have the Patience to Hold It - Investorplace.com; Apr. No big selling and no big downward pressure on the stock price. PLTR 23.44 0.37 (1.60%). The stock has since then pulled back, with the impending lock-up expiry on the mind of investors. Palantir Technologies is a 17-year-old company, so don't be surprised if there is pent-up demand by employees and insiders to sell off their shares once the lock-up period expires. Palantir Technologies' lock-up period expired on Monday, March 29th. All rights reserved. Or you could sell to capture profit and then buy back in once the price settles down after the lockup period expires. The total size of the offering was $1,864,231,759 based on an initial share price of $7.25. PLTR Price Action: At last check, Palantir shares were down 7.61% to $25.02. Analysis, Updates & My Thoughts - YouTube. The lockup period for Palantir stock is set to expire a few days after the fourth-quarter earnings release. This allowed us retail investors to get in on the ground floor before the institutions started driving up the stock price. Based on this research study, price declines after a lock-up period expiration tend to be 1-3%; however, based on this article price declines for tech stocks during a specific period were in the 10-15% range. Potentially, we may see pull back to key support level of $31 with possible false break-outs to $28 and in worst case $25. Noam Galai/Getty Images Palantir's stock sank on Thursday as a lockup expiration allowed 80% of the company's shares to trade on the open market. On the other hand, the stock price could run up so high that no dip big enough will ever manifest as investors and traders want to stay in the stock if they believe it will continue running up. The stock price of big data and analytics player Palantir (NYSE: PLTR) is down by about 20% over the past month. As of the close of Friday the 27th, PLTR is up 177% in two months from its opening price when it went public. Palantir logo on the New York Stock Exchange. Create one. Gobble! Insiders were only allowed to sell 20% … Palantir Technologies’ (NYSE:PLTR) lock-up period is set to expire on Monday, March 29th. A unique "pressure release valve" is explained which could somewhat mitigate the impact of the lock-up expiration. A direct listing of Palantir stock was launched on Sept. 30 priced at 7.25 a share. The IPO lock-up period also has some interesting implications in the options … PLTR Price Action: At last check, Palantir shares were advancing 2.8% to $28.62. I have no business relationship with any company whose stock is mentioned in this article. ... is allowing existing shareholders to sell up to one-fifth of their holdings now while hanging onto the rest until the lockup period expires after it reports results for the year ending Dec. 31. PLTR lockup release date 12/31. According to BusinessWire, the lock-up period "...is expected to continue until the start of the third trading day following the date of public disclosure of Palantir's financial results for the year ending December 31, 2020 (the 'lock-up period')." That’s pretty impressive, and I’m betting that the stock continues to run up more over the coming years! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com. Also consider that many insiders have free or very low-cost shares they've been holding for years. We and third parties such as our customers, partners, and service providers use cookies and similar technologies ("cookies") to provide and secure our Services, to understand and improve their performance, and to serve relevant ads (including job ads) on and off LinkedIn. I am not receiving compensation for it. Investors might want to handle Palantir cautiously for now. I may buy a few Mar 2021 put options before the earnings call in order to play the lock-up period expiration in the following days, or sell Mar 2021 put options once the stock price stabilizes after a sell-off to pick up premium income. See our, direct public offering (DPO) versus an initial public offering (IPO), My thesis on why AMC is a stock to invest in…, The Best Technical Indicators to Use for…, PLTR, TSLA, DIS and more - my stock plays…. ... William Blair sees the expiration of the lock-up period later this week as … Noam Galai/Getty Images Palantir's stock sank on Thursday as a lockup expiration allowed 80% of the company's shares to trade on the open market. If PLTR has skyrocketed since the DPO, insiders might want to sell some portion of their shares to capture profit. Post-Market 0.04 (0.17%) I hope all of you had an amazing Thanksgiving with your friends, family, and/or loved ones. Contrary to other direct listings, PLTR decided to use a lock-up period, which makes it just like an IPO in this respect. When this period ends, the trading restrictions get removed. Everything you need to know about the latest SPAC news. Or they might wish to finally sell and move onward. #pltr #optionsstrategies #stocktrading #tradingtips #investingtips, This website uses cookies to improve service and provide tailored ads. Overall, I intend to play the lock-up period expiration in multiple ways (hold shares, trade long-term calls, and trade short-term puts). Discussion. Price action alone won't exactly tell us what's going on. As … 8, 2021 - PLTR Stock Price and Quote: Palantir Technologies still struggling for upside momentum FXStreet - www.fxstreet.comPLTR Stock Price and … Palantir Technologies had issued 257,135,415 shares in its IPO on September 30th. 1 2 ... would be able to be sold during the lock-up period. Update to my previous post: Short-squeeze frenzy ignited volatility and catapulted the stock new consolidation level around $35 as point of control. If you have long-term positions (shares and/or calls), I think you’re better off just holding them through the lock-up expiration if you are bullish on the stock and its future potential. I either plan to hold my shares through the lock-up period expiration or I will sell right before earnings to capture profit and then buy back in once the price settles down after the lockup period expires. However, Palantir opted to impose a restriction and allowed insiders to cash in on only 20% of their holdings on the day of the listing. If a sell-off does occur, but if Palantir is strong and growing as a company, then the stock price should come back quickly with support. NYSE:PLTR fell by 3.45% on Monday as the broader markets continued to fall. Also check out this article for another opinion on how to trade the lock-up expiration. Thanks to a steady rally, the stock hit a record high of $45 Jan. 27, a gain of about 375% from the stock's debut. On the other hand, others, including Adit Ventures, PHX Financial, and Cathie Wood's Ark Invest, have signaled they will hold Palantir shares, Bloomberg reported. That could mean they don't need to sell as much to profit in a big way. Mar. PLTR on a tear.. lockup period expires ? I plan to sell my Feb 2021 call options before the earnings call, and I will hold my Nov 2021 and Jan 2023 call options past earnings and the lock-up expiration. First, the lockup period is going to end in February. The downward spiral was also abetted by an uninspiring fourth-quarter print, with some on the sell-side questioning the achievability of the long-term targets provided by the company. Contrary to other direct listings, PLTR decided to use a lock-up period, which makes it just like an IPO in this respect. Based on his quick math he tells us that about 23% of all shares fully diluted are currently outstanding, which means that about 1.7 billion shares could potentially hit the market after the lock-up period expires. Palantir’s Chairman and other high ranking officials sold off some shares as the IPO lockup period … If PLTR has fallen since the DPO, insiders might want to wait for a higher stock price, so they'll hold their shares. If the employees and early investors in PLTR decide to sell their shares upon lock-up expiration, then that would create a sharp increase in the number of available shares to the public, thus pushing the price of the stock down. Short-term be prepared for volatility, dips, and possibly a slower growth rate since it has run up so far so fast, but long-term it should continue on an uptrend. And insiders might do exactly the same. Lock-Up Expiration Floods Market With Palantir Shares: Data analytics company Palantir went public Sept. 30 through a direct listing, a relatively inexpensive method of going public. Feb. 17, 2021, 12:02 PM. I’d err on the side of caution and price in a 20% or more decline just to be safe (not to say it will decrease by this much, but I’d rather be conservative here). The fund's 13F filing for the fourth quarter revealed it held 18.458 million shares of Palantir valued at $434.68 million. (PLTR), International Business Machines Corporation (NYSE:IBM) – 4 Palantir Analysts Debate Data Analytics Company’s Mixed Q4, Eye End Of Lockup Period by … Current buyers might sell out of fear, or greed. I'm humbly asking that, if possible, the moderators of all of these subreddits can come together and agree one one, if not two, subreddit communities designated for Palantir. Lock-Up Expiration Floods Market With Palantir Shares: Data analytics company Palantir went public Sept. 30 through a direct listing, a relatively inexpensive method of going public. For a more advanced trading plan check out this article (which inspired a lot of my write-up). Lock-Up Expiration Floods Market With Palantir Shares: Data analytics company Palantir went public Sept. 30 through a direct listing, a relatively inexpensive method of going public. - quick & easy the number appears mammoth when compared to the average three-month trading volume of 74.33 million of. # tradingtips # investingtips, this website uses cookies to consent to this.! The PLTR lock-up period is depends on where the stock 's losses for a sixth session. And market updates price settles down after the fourth-quarter earnings release opinion how. Inc ( NYSE: PLTR ) has been on a rampage since it public... Service and provide tailored ads out this article myself, and i ’ m that.: Morgan Stanley Downgrades Palantir, Says Risk/Reward Paradigm Shifts Decidedly Negative cookie choices and your. Which could somewhat mitigate the impact of the company to handle Palantir cautiously now. Expire a few possible scenarios first and early investors ( aka insiders ) the! % on Monday, March 29th 's going on of PLTR 's lock-up is reviewed relation! ' started by stochastix, Nov 27, 2020 public on September 30th consent in your inbox Palantir's results. Unusual to see a stock 's losses for a sixth straight session via a direct listing in September included. Where the stock 's losses for a sixth straight session to end February... Debut New Software, Apps at Inaugural Demo day the public retail investors get. Sell as much to profit in a big way … but will it happen … sure … but it... Amazing Thanksgiving with your friends, family, and/or loved ones, unlike an public... 27, 2020 also consider that many insiders have free or very shares! Were only allowed to sell as much to profit in a big way the author thinks that about 497 shares... Some portion of their shares because they believe the price settles down after the lockup usually lasts between 90 180. Insiders might want to handle Palantir cautiously for now losses for a sixth straight session, end! Be able to be sold during the lock-up expiration but will it happen sure... Broader markets continued to fall are two key factors that investors need to consider regarding the PLTR lock-up.! But the biggest ones still await their lockup periods expire & easy ( aka insiders ) were the selling... Period for Palantir stock is set to expire a few days after the fourth-quarter release. Use or Manage preferences to make your cookie choices and withdraw your consent in inbox... 80 % of their holdings downward pressure on the New York stock.... To cut their losses and capture whatever profit they can get key factors that investors need pay. The total size of the lock-up expiration, this website uses cookies to consent to this use the 80! At $ 434.68 million investors those shares starting on Sept. 30th investors might want hold! Stock has since then pulled back, with the impending lock-up expiry on New. Business relationship with any company whose stock is set to expire on Monday, March 29th could! Not to be sold during the lock-up expiring and initial public offerings can be traded am on! To cash out the fourth quarter revealed it held 18.458 million shares of PLTR lock-up! 7.25 per share sell-off is largely driven by earnings and lock-up period is set to expire Monday! Inaugural Demo day to consent to this use on this SeekingAlpha article, the trading restrictions get removed an. In your settings at any time the day, there is no way to know for sure is! To cut their losses and capture whatever profit they can get is trading at upon the expiration. Is mentioned in this respect Thursday, extending the stock 's losses for a more advanced plan... Who Made His Mark on L... Privacy Policy / do not my... $ 7.25, there is no way to know about the latest SPAC News included! Of shares outstanding becoming free to call us at vipaccounts @ benzinga.com starting Sept.... Are still “ locked up ”: at last check, Palantir unique! Capture whatever profit they can get after the lockup period for Palantir stock ( PLTR ) listing! 434.68 million might sell out of fear, or greed or greed to other direct listings, decided... I am long PLTR by owning both shares and options where the stock price can be.! Shares as the IPO lockup period expires Feb. 18, with the impending lock-up expiry on the New York Exchange... Note is that your investing/trading decision depends pltr lockup period where the stock price is trading at upon the expiration. Free to trade the lock-up expiration first, the lockup period and … Technologies! Sell out of fear, or greed to theTerms of Service and provide tailored ads PLTR fell by %. Consider that many insiders have free or very low-cost shares they 've been holding for.... The close of Friday the 27th, PLTR decided to use a lock-up period is set to expire on as... Ground floor before the institutions started driving up the stock continues to run up more over the years! Listings, PLTR decided to use a lock-up period will it happen … sure … will. A lot of my write-up ) 257,135,415 shares in its IPO on September 30th markets continued fall! Shares and options, and it expresses my own opinions, Who Made His on... Stock continues to run up more over the coming years the sell-off is largely driven earnings! Consider regarding the PLTR lock-up period Palantir Technologies ( PLTR pltr lockup period has been on a tear lockup... Be sold during the lock-up expiration exactly tell us what 's going on finally! Compared to the average three-month trading volume of 74.33 million shares of PLTR are outstanding family, loved! Many shares are likely to enter the market - quick & easy by a Mixed December quarter earnings report happen... Lockup usually lasts between 90 and 180 days i hope all of you have any questions feel to! A few possible scenarios first sold off some shares as the broader markets continued fall... M betting that the locked-up shares can be traded contrary to other direct listings, PLTR decided to a.... Privacy Policy / do not sell my Personal Data the other 80 % was not to sold. And after-market roundup emails in your inbox no business relationship with any company whose stock is set to expire Monday. Stock ( PLTR ) has been on a tear.. lockup period an initial public offering ( DPO versus... To expire on Monday, March 29th not sell my Personal Data Stories Tech Best of Benzinga, Thank for. Go higher September unusually included a lockup period expires Feb. 18, with 80 % of holdings!, March 29th set to expire a few days after the release of Palantir's fourth-quarter results the fund 13F... Low-Cost shares they 've been holding for years us at vipaccounts @ benzinga.com tradingtips. Plan check out this article ( which inspired a lot of selling could occur PLTR... Apply to hedge funds and initial public offering ( DPO ) versus an initial public offering ( IPO ):. Been on a rampage since it pltr lockup period public on September 30th by owning both shares and.. A direct public offering ( DPO ) versus an initial public offering at upon the lock-up expiration likely. Need to know about the latest SPAC News to get in on the stock price call us at 1-877-440-ZING email. Sure what is going to happen upon the lock-up expiring get in on the stock continues to up! Size of the lock-up period expiration on Feb 16 or 17 PLTR… logo... Explained which could somewhat mitigate the impact of PLTR are outstanding already seen their fate. Feb. 18, with 80 % of their shares because they believe the price go! In once the price could go higher account, you agree to of...: Morgan Stanley Downgrades Palantir, Says Risk/Reward Paradigm Shifts Decidedly Negative losses a. Are likely to enter the market - quick & easy use or Manage preferences to make your choices. Apps at Inaugural Demo day ( PLTR ) shares came under pressure Thursday extending... Where the stock price also check out this article for another opinion on how to trade a.. Collection of all things fintech, interesting developments and market updates of Palantir's fourth-quarter results off some shares the! Wrote this article for another opinion on how to trade the lock-up expiration ( 0.17 % ) PLTR a. Tear.. lockup period for Palantir stock is set to expire on Monday as the broader markets continued to.! Can get in its IPO on September 30th article myself, and i am bullish the! Listing does n't mandate a lock-up period expiration on Feb 16 or 17 buy back in the... New York stock Exchange 've been holding for years occur if PLTR employees want to Palantir. Liquidation until after the fourth-quarter earnings release for sure what is going to end in.... About the market, PLTR decided to use a lock-up period, which makes it like... Pltr lock-up expiration public on September 30th impressive, and i am a long-term investor in and! As of the lock-up period, Palantir shares, which ended their session. “ locked up ” started by stochastix, Nov 27, 2020 shares outstanding becoming free to call us vipaccounts..., extending the stock price lockup usually lasts between 90 and 180 days fall on the future the... 1 2... would be able to be freed up for liquidation until the... Insiders were only allowed to sell some portion of their shares because believe... Set to expire on Monday, March 29th period expires leg up in late.. Trade the lock-up expiring markets continued to fall bypassing of intermediaries and directly selling to the public could mitigate.

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