Palantir stock (NASDAQ:PLTR) is back in the spotlight as artificial intelligence reshapes global defense and data intelligence. The company’s recent deal with NATO to deploy its AI-powered Maven Smart System marks a major turning point—and a potential buying opportunity for investors bullish on AI and defense tech.
Wedbush analyst Dan Ives recently described Palantir stock as being in a “prime position,” citing its unique capabilities and growing global demand for military-grade artificial intelligence solutions. The NATO contract, which delivers custom AI tools to enhance battlefield decision-making, highlights Palantir’s strategic edge in the sector.
Palantir’s Government Roots Power New Growth
Founded in 2003, Palantir Technologies has long catered to intelligence agencies, law enforcement, and military units. Its three core platforms—Gotham, Apollo, and Foundry—are built to process enormous datasets quickly and securely. The company’s strength lies in bridging complex information environments with actionable insights, a critical need in today’s geopolitics.
The NATO contract strengthens Palantir’s longstanding reputation as a trusted AI partner for Western governments. And amid rising tensions globally, demand for predictive AI is only increasing.
Palantir stock has surged more than 25% year-to-date, and over 300% in the past year, outperforming many high-profile tech peers. It’s clear: institutional buyers are noticing.
Palantir Earnings Beat Fuels Investor Confidence
Palantir’s fourth-quarter earnings provided further support for bullish sentiment. The company posted a 36% year-over-year revenue increase, reaching $828 million—well ahead of analyst expectations. Adjusted EPS also rose 75% to $0.14, another major beat.
Of particular note: U.S. commercial revenue soared 64% year-over-year, while government-related sales climbed 45%. The firm signed 129 deals worth over $1 million, including 32 contracts valued above $10 million. These numbers point to widespread adoption of Palantir’s platforms across sectors.
Looking ahead to fiscal 2025, Palantir expects revenue to hit up to $3.757 billion, with adjusted free cash flow projected between $1.5 billion and $1.7 billion. U.S. commercial sales alone are forecast to exceed $1.079 billion.
This kind of growth, coupled with strong cash flow and rising margins, positions Palantir stock as a compelling long-term AI play.
Analyst Ratings: Is It Time to Buy Palantir Stock?
Dan Ives of Wedbush remains one of the most vocal supporters of Palantir stock, maintaining an “Outperform” rating with a bold $120 price target. His confidence is based on the company’s expanding defense footprint and its dominance in secure, government-ready AI platforms.
Still, Wall Street remains divided. Out of 20 analysts, just three rate Palantir stock a “Strong Buy,” while 12 suggest holding. One labels it a “Moderate Sell,” and four rate it a “Strong Sell.” The average price target is $84, but the highest estimate goes up to $125—suggesting a 33% upside from current levels.
Skeptics cite Palantir’s premium valuation and its dependence on large-scale government contracts. But as governments escalate AI defense spending, the company’s deep ties and proven tools could tilt the balance.
Final Thoughts: Is Palantir Stock a Smart Buy?
Palantir stock is no longer the underdog—it’s a frontline AI defense player. Between its strong Q4 results, groundbreaking NATO deal, and bullish projections for 2025, investors have plenty to consider.
While volatility may continue, the firm’s focus on scalable, secure AI platforms places it in a unique niche. For those betting on the future of AI in government and military tech, Palantir stock may be one of the most strategic picks available.
Featured Image: Megapixl
