1. Palantir's stock experienced significant volatility due to defense budget cuts and CEO Alex Karp's new trading plan; 2. Despite strong revenue growth, Palantir's valuation is seen as irrationally high, leading to a downgrade to 'Strong Sell'; 3. The company's valuation is based on unrealistic revenue growth and profitability expectations, and the recent rally is likely driven by speculative frenzy and passive buying.