Daiwa Upgrades Palantir Despite Stock Slump: A Bold Bet on Data Dominance
Analysts are placing their chips on the data giant while the market looks the other way.
When the Street Zigs, Daiwa Zags
Forget the ticker tape for a second. Daiwa Securities just made a contrarian call, upgrading Palantir Technologies even as its shares continue to slide. It's a classic move—betting on the underlying tech when short-term sentiment sours. The firm sees something the panic sellers are missing: structural advantage.
The Engine Under the Hood
This isn't about quarterly blips. The upgrade hinges on Palantir's core software stack—Gotham and Foundry—digging deeper into government and enterprise workflows. Once that integration happens, switching costs skyrocket. Revenue becomes recurring, predictable, and damn hard to disrupt. It's the ultimate moat.
A Cynical Nod to Finance
Let's be real—this upgrade also reeks of a classic Wall Street two-step: talk a stock down, then 'bravely' upgrade it at a lower price to look like visionaries. A convenient narrative for the next earnings cycle, no doubt.
The bottom line? Daiwa's betting Palantir's data fortress will outlast any temporary stock weakness. In a world drowning in information but starving for insight, that's a wager on the one asset that never depreciates: actionable intelligence. Time will tell if they're reading the data right—or just the room.
Palantir gets a boost from U.S. commercial demand
What really caught Wall Street’s attention was the spike in Palantir’s U.S. commercial revenue, which ROSE 137%. The company expects that number to keep climbing. Shigemichi said clients aren’t just testing the software anymore. They’re now running operations with it.
He also wrote that the company is expanding quickly by adding more users, increasing contract lengths, and finding new ways for customers to use the platform. He added, “With the firm projecting U.S. commercial revenue up at least 115%, it reaffirmed the significant growth potential of future earnings.”
Even with that growth, Palantir keeps catching heat in the UK. Since 2023, the company has pulled in over £500 million in government contracts and hired Lord Mandelson’s Global Counsel to help with strategy.
Critics are pushing to get the company off public contracts altogether, saying it’s a black box when it comes to transparency.
One of the biggest deals came when Palantir landed a £330 million contract with the NHS to help organize health data. That partnership made people nervous. The company has ties to the Israeli military and U.S. immigration enforcement, including ICE, which has been blamed for deadly crackdowns on American soil. Those connections raised a lot of questions.
In June, the UK Government refused to share briefings sent to Keir Starmer before he and Mandelson visited a Palantir showroom in Washington DC. That refusal only made the backlash worse.
Government ties, IPO timeline, and sky-high valuation
In the U.S., Palantir is deep in government work. It builds AI tools and data platforms like Gotham and Foundry for military and intelligence agencies. The company recently landed a $10 billion deal with the Army. It’s also worked on battlefield surveillance, immigration data, and federal databases.
Before going public, Palantir wasn’t profitable. It filed for an IPO in July 2020 and listed directly on the New York Stock Exchange on September 30, 2020 using the symbol PLTR. Four years later, on November 26, 2024, it moved over to the Nasdaq, keeping the same ticker.
On September 6, 2024, S&P Global added the company to the S&P 500, and shares jumped 14% the next day. But in 2025, The Economist took aim, calling Palantir “the most over-valued firm of all time.” Its market cap hit $430 billion, over 600 times its earnings from 2024. As of November 2025, it was trading at 85 times expected sales, the most expensive stock on the index.
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