In the second quarter of 2025, Palantir’s revenue reached $1.004 billion, a year-on-year increase of 48%; U.S. commercial revenue grew by 93%, and government revenue increased by 53%; the adjusted operating profit margin was 46%, and the Rule of 40 was 94%, demonstrating strong financial performance. The company raised its annual revenue and profit guidance, with a positive outlook.
Analysts have a wide divergence on Palantir’s price target: the high-end optimists target a price of $180–200, the neutrals average between $154–160, and the conservatives target a price of $120–136. Investors can choose a reference range based on their risk preferences and flexibly formulate buying or wait-and-see strategies.
Palantir has secured a 10-year contract with the U.S. Army worth up to $10 billion, providing significant support for the company’s future growth. This positions Palantir at a competitive advantage in the fields of AI and government data analysis.
Currently, Palantir’s valuation is relatively high, with a price-to-earnings ratio of about 69 times for 2025. Previous rumors of defense budget cuts have led to fluctuations in stock prices, indicating that there are still certain risks in investment. Investors need to pay attention to future financial reports and contract progress to balance returns and risks.
For newbies, the following strategies can be referenced: Optimists may focus on a target price of $160–200, while cautious investors can refer to the range of $120–140. It is recommended to build positions in batches and continuously monitor the company’s quarterly performance and contract situation, adjusting investment plans flexibly based on market changes.