Palantir Technologies stock fell Wednesday, bringing its seven-day winning streak to a screeching halt.

Shares closed down 1.6% to $132.22, ending the streak that sent shares up 25%.

DA Davidson analyst Gil Luria tells Barron’s that the stock move appears to be related to an article published by the Financial Times on Wednesday outlining internal concerns at the company and how Democratic lawmakers could potentially target Palantir, imperiling its business with the U.S. government.

“For over twenty years, and across five administrations, Palantir has been proud to work with the U.S. government and its allies to strengthen national security and deliver public services effectively and efficiently. We will continue to work with Democrats and Republicans alike to support all Americans,” Palantir told Barron’s in a statement.

From a technical perspective, shares closed on Tuesday right at their 50-day moving average, around the $134 level. The reversal lower on Wednesday could signal that the stock is encountering resistance at that key level.

After three consecutive years of mammoth gains, Palantir stock has fallen 27% in 2026 amid broad fears that artificial intelligence could disrupt software. Shares are also down 37% from their record closing high of $207.18 set on Nov. 3, 2025.

The pain for Palantir investors ratcheted up in June, with shares sinking 25% during a seven-day losing streak.

During the losing streak, spanning June 16 through June 25, Palantir broke below multiple key levels of technical support.

But the stock appeared to find a bottom after closing on June 25 at $107.27. Between June 25 and Tuesday, shares advanced 25%, closing higher for seven consecutive trading sessions.

The winning streak wasn’t just a technical correction. Investors pushed shares higher after the company announced a new strategic initiative with Nvidia to build custom artificial-intelligence models for the U.S. government.

Palantir also received a Buy rating upgrade, with some analysts arguing that the stock’s valuation hadn’t this attractive in some time.

Whether Palantir stock is out of the woods or poised for another leg lower remains to be seen.