- Morgan Stanley analyst Keith Weiss upgraded Palantir Technologies Inc (NYSE:PLTR) to Equal Weight from Underweight with a price target of $16, down from $24. The price target implies an upside 0f 46.1%.
- The analyst cites its "well-positioned" government business, potential for its commercial unit to accelerate sales investments, and "strong" unit economics for the upgrade.
- Palantir trades at a discount to peers on a growth-adjusted basis despite its "high growth and significant cash flow generation," Weiss tells investors in a research note.
- The analyst thinks management credibility concerns around investments in companies who agree to utilize the software platform are now adequately priced in and that the stock's risk/reward skew has shifted towards the "neutral to positive territory."
- Price Action: PLTR shares traded higher by 0.46% at $10.01 in the premarket on the last check Monday.
