Palantir Stock Forecast Contrasts with Amazon Buy Recommendations Amid Valuation Concerns

Wall Street analysts project a 30% decline for Palantir shares over the next year, setting a median target of $11 compared to its current $158 price. The bearish outlook stems from extreme valuation metrics—trading at 127 times sales—making it the S&P 500's most expensive stock despite 110% year-to-date gains.

Meanwhile, 71 analysts endorse Amazon as a buy with 15% upside potential to $252 per share. Palantir's Q1 results complicate the narrative: customer growth surged 39% to 769, while average spend per client rose 24%. Revenue climbed 39% to $884 million, marking seven consecutive quarters of acceleration, fueled by its AI platform launch.

Industry analysts at IDC and Forrester recognize Palantir's leadership in decision-intelligence and AI platforms, yet valuation realities overshadow operational achievements. The divergence between Palantir's business performance and stock prospects underscores market skepticism toward hypergrowth valuations.