☕️ 3 ways to trade Palantir earnings, even if you’re not a trader

Howdy! 👋 

The markets are in the red as I type, which makes sense given that traders haven’t sold over the past 9 days - a winning streak unbroken since 2004 if memory serves. 

I think there’s a good chance we finish in the green – but that’s a story for another time. 

People get hung up on “how long” the rally can continue or “how high” the markets can go. 

Both are a mistake. 

What you want to focus on is that every seller has a buyer… in other words, the markets are working normally. 

People don’t like the fact that the markets go up and down but that’s how they work AND how they set up the next bull run. 

Think about it. 

You eat a big meal; you need to digest your food before eating again. 

Same deal. 

No Tums required. 

Here’s my playbook. 

1 – Markets remind me of 2020 

The super smart David Asman asked me ahead of today’s opening bell for my take on AMD, PLTR and BRKB, along with why this market reminds me of 2020. (Watch) 

To paraphrase American baseball legend Yogi Berra who was famous for his one-liners, it’s déjà vu all over again.

Three reasons: 

1. A pronounced “hook” that is consistent with traders rapidly buying after sellers have been exhausted and ticker tourists sent a packin’ 
2. Something that can be fixed at the stroke of a pen or a policy change – in this case tariffs 
3. Learning to be comfortable being uncomfortable     

2 – Three ways to trade Palantir, even if you’re not a trader 

Palantir report today after the market closes. (Read) 

I can’t wait! 

More importantly, I will be exceptionally surprised if Team Karp doesn’t knock the leather off the ball.  

But funny enough, that’s not what I’m watching. 

Traders have run Palantir sharply higher in recent trading which makes me think that the Merry Marauders could be setting up for a rug pull or a “fade” – meaning they’ll take prices down even if the numbers are great. 

When? 

Most likely in the afterhours when they have a statistical/executional advantage and retail investors can’t defend themselves as easily. 

Three trade ideas can help you come out on top: 

1. An ATM straddle – meaning buying both a call and a put at the money – could work nicely. Or consider waiting for earnings to jack volatility, then Sell Cash Secured puts and go shopping at a discount, a strategy I encourage the OBA Family to use regularly. (And which I just detailed in the latest issue) 
2. Wait until after the dip if you’re less of a trader and more of an investor – if there is one – then Sell Cash Secured Puts by using the increase in volatility to boost the premium you would otherwise receive. 
3. Enter a LowBall Order ahead of time – which is perfect for most investors in search of a bargain. This isn’t complicated. Pick a line in the sand and a price at which you’d be willing to buy more shares… then set aside the cash and wait. Just like fishing after you put the bait out. 

I will have more specifics for the OBA Family shortly in this week’s update – so please keep an eye on your email! Btw, if you’re not an OBAer and you’d like to be, you can learn more here. 

Keith’s Investing Tip: Many investors assume that they’ve got to focus on increasingly tiny slivers of time but that’s a mistake made worse by social media, news hype and clickbait artists with the attention span of a mosquito. The way to beat Wall Street is not to engage in the fight on their terms but yours. “Zooming out” takes away their edge and makes you harder to separate from your money.

3 – Berkshire, now things could get interesting 

Warren Buffett just made it official: Greg Abel will take over as CEO of Berkshire Hathaway at the start of 2026, while Buffett remains chairman. (Read) 

The Oracle of Omaha, now 94, made the announcement at this weekend’s shareholder meeting. 

While others are billing this as a surprise, I told you very specifically a while back that he was most likely raising cash (see #4) to clear the deck for a [then unnamed] successor. 

Buffett, btw, noted that he won’t sell a single share of his more than $160 billion stake, and even said Berkshire’s prospects may be better under Abel’s leadership than his own. 

I agree. 

I’ve stayed away from Berkshire for a long time because I see no reason to invest like it’s 1995 but if Abel has any kind of inclination to start adding tech, I may have to rethink that premise. 

This wouldn’t be a minor transition, and I think Abel is very aware of what must happen. 

Take Apple, for example - Berkshire’s most lauded “tech” company. 

Apple added ~112% to Berkshire’s stock return, increasing its total return from ~138% (without Apple) to ~250% (with Apple) from 2016-2024. The S&P 500, by comparison turned in ~230% over that time period. 

In other words, there’s a good case to be made that Berkshire would not have beaten the S&P 500 without Apple – that catches a lot of folks by surprise. And that’s why I expect Abel to go shopping. 

See #5. 🤔 

4 – What does Bill see? 

Bill Ackman’s Pershing Square just struck a $900 million deal for nearly 47% control of Howard Hughes Holdings (HHH), paying a 48% premium for 9 million newly issued shares. (Read) 

The real estate-focused firm will now operate more like a holding company—Ackman’s stated goal is to build a “modern-day Berkshire Hathaway.”  

As part of the deal, he’ll become executive chairman, while Pershing’s CIO Ryan Israel will take the same role at HHH.  

The company will also pay Pershing base and performance-linked management fees, though voting power will be capped at 40%. Shares jumped 8% in premarket trading on the news. 

Hmmm. 🧐 

5 – Netflix might just be the only tariff proof stock after all 

President Trump is pushing for a 100% tariff on all foreign-made films, calling it a national security move to “revitalize” domestic production. He blames overseas incentives and California’s leadership for Hollywood’s decline. (Read) 

If enacted, the policy could upend global film distribution and content pipelines. 

Most traditional studios are exposed – take a look at the credits for any of a dozen big blockbusters over the past 20 years and you will see an increasingly large swath of Chinese production companies and their money. 

But Netflix?  

I told you this past month that Netflix was tariff-resistant and it would appear that I was on to something. People thought I was bananas. 

I get it… as much as I dislike the company itself because it’s constantly trying to cram more advertising, “personalized” recommendations I really don’t find all that personalized and more down the cable, that’s just me… and scores of investors who share my feelings. 

Still, one of my cardinal rules is keeping your emotions out of the equation – and mine, too. 

Netflix does offer global scale, original content across markets, and ad-tier momentum make it one of the few players that could benefit—not just survive—this kind of disruption. 

I might have to rethink this one, too. 

Imagine if Berkshire buys Netflix, but I digress?!?! 🤷🏻‍ 

Bottom Line 

The real danger facing most investors is one they don’t see coming. 

Contrary to what many think, there’s no shortage of profit potential, only a shortage of people thinking big enough. 

Grab your share or somebody else will! 

YOU got this – I promise! 

As always, MAKE it a great day and start the week strong.  

Keith 😀