Jim Cramer called a Palantir-produced NFT video "one of the most frightening things I've seen" and demanded CEO Alex Karp publicly disavow it before market close. The stock, already down 23% year to date, fell further as the controversy added reputational risk to a company trading at 144 times trailing earnings. Palantir removed the video after Cramer's warning but has not issued a public statement.
Jim Cramer demanded Palantir Technologies publicly disavow a company-produced NFT video he called "Satanic," sending the stock down 3.6% over five sessions to $127.94.
"It's basically saying, listen, we're Satan. Look out!" Cramer said on CNBC's Mad Dash on Wednesday. The host, who has defended Palantir for two years, called the imagery "one of the most frightening things I've seen" and described it as "a Punisher-like video" that the company made and then quietly pulled.
Palantir's Q1 2026 revenue reached $1.63 billion, up 84.7% year over year, with U.S. commercial revenue surging 133% to $595 million. Management raised full-year guidance to roughly 71% growth. Yet the stock trades at 144 times trailing earnings and more than 60 times sales, leaving no margin for narrative risk.
"A board member might say... maybe we can't use Palantir because... it shouldn't be doing these kinds of videos," Cramer said. Enterprise procurement cycles run on trust as much as technology, and a single risk committee memo citing brand-safety concerns can freeze a nine-figure pipeline for a quarter.
Palantir removed the video after Cramer's warning, but the host said a quiet takedown is insufficient. "They have to distance themselves from this. They have to do it today," he said, with a Financial Times feature on Palantir's political alignment already in circulation.
The stock has fallen 23% year to date, with 32 analysts split 20 buys, 10 holds and two sells. The consensus price target of $159.92 implies 25% upside from Friday's close of $127.94. Cramer opened his segment by re-anchoring his bull case, saying he has been "a big supporter" of Palantir "mostly because of what it does in real business." The pivot to criticism marked a genuine break from a host who has spent two years defending Alex Karp's leadership.
Palantir sells its Gotham, Foundry and AIP platforms to defense agencies, hospital systems and Fortune 500 companies — customers that require multi-year procurement cycles and internal champions willing to stake their reputations on the vendor. The bull case has always rested on hard product wins and a founder-led mystique. Movements attract iconography, and iconography can go wrong. The video did not spiral into a bigger crisis due to its quick removal, but Cramer's public demand keeps the spotlight on management's next move.
This article is for informational purposes only and does not constitute investment advice.
