Shares of Palantir (PLTR) dropped over 9% on Tuesday due to a critical report from short-selling firm Citron Research, which cited that PLTR stock is significantly overvalued. This comes a week after the firm’s Andrew Left said that the company’s valuation ratios are “absurd.

The sudden reversal shows how the hottest AI trade and top-performing stock of the year is colliding with a broader market rotation out of big tech.