Wall Street Grows Bullish on Palantir Amid Defense Contract and AI Advancements
Palantir Technologies (PLTR) shares hover around $137, marking a 34% decline from its peak of $207.52. Despite the pullback, institutional Optimism surges. Rosenblatt Securities initiated coverage with a Buy rating and a $150 target, while Mizuho upgraded to Outperform with a $195 target. Bank of America's $255 target leads the pack, citing Palantir's edge in deploying AI solutions faster than competitors.
The company's Q4 2025 revenue jumped 70% to $1.4 billion—its tenth consecutive quarter of accelerating growth. Non-GAAP net income ROSE 79% to $0.25 per share, with a Rule of 40 score of 127%, exceptional for a software firm of its scale. A new U.S. Air Force contract with GE Aerospace further bolsters its defense segment.
Analysts raised 2026-2027 earnings estimates by approximately 30% over the past month. The median price target of $196 implies 43% upside from current levels. Morgan Stanley's $205 target reinforces the bullish thesis, emphasizing Palantir's ability to enable data-driven decision-making through its platforms.
