Palantir Stock Soars 149% in 2025, Strong Growth Potential Ahead
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: Fool
- Outstanding Stock Performance: Palantir's stock surged 149% in 2025, reflecting the market's recognition of its growing influence in the AI sector, although analysts express caution regarding future upside potential.
- Profitability Improvement: The adjusted operating margin rose by 13 percentage points year-over-year to 51% in Q3, demonstrating the company's strong capabilities in customer acquisition and business expansion, further solidifying its market position.
- Significant Customer Growth: Palantir's customer count increased by 45% year-over-year in Q3, alongside securing $2.8 billion in new contracts, up 151%, indicating a robust revenue pipeline and promising future performance.
- Valuation Justification: Despite a high P/E ratio of 435, Palantir's Rule of 40 score of 114% ranks second among the top 25 companies globally, underscoring its strong investment value and market appeal.
Analyst Views on PLTR
Wall Street analysts forecast PLTR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PLTR is 187.87 USD with a low forecast of 50.00 USD and a high forecast of 255.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
16 Analyst Rating
3 Buy
11 Hold
2 Sell
Hold
Current: 180.840
Low
50.00
Averages
187.87
High
255.00
Current: 180.840
Low
50.00
Averages
187.87
High
255.00
About PLTR
Palantir Technologies Inc. is engaged in building software to assist in counterterrorism investigations and operations. The Company has built four principal software platforms, including Palantir Gotham (Gotham), Palantir Foundry (Foundry), Palantir Apollo (Apollo), and Palantir Artificial Intelligence Platform (AIP). Apollo is a cloud-agnostic, single control layer that coordinates ongoing delivery of new features, security updates, and platform configurations, helping to ensure the continuous operation of critical systems. Gotham enables users to identify patterns hidden deep within datasets, ranging from signals intelligence sources to reports from confidential informants. Foundry transforms the ways organizations operate by creating a central operating system for their data. AIP enables responsible artificial intelligence (AI)-advantage across the enterprise by using primary, core components built to effectively activate large language models and other AI within any organization.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
