Investors should expect that some selling pressure will come in the form of short-term profit-taking before year-end. However, any weakness in Palantir will certainly be met with additional buyers as long-term investors are likely to be waiting for an opportunity to buy Palantir stock on a dip.

Palantir Technologies Inc. (NASDAQ:PLTR) has already climbed more than 300% this year, with recent developments highlighting how the stock is showing no signs of slowing down. From advances in AI technology to its September inclusion in the S&P 500,

Palantir has shown exceptional performance with strong revenue growth, but its current valuation is far overstretched. Read why I downgraded PLTR.

The software company also leads the list of stocks that could be added to the Nasdaq 100 at the end of December.