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Palantir Technologies (PLTR) is no longer just a pioneer of AI-driven analytics — now it is part of a revolutionary coalition reshaping America’s defense industry. Palantir has joined forces with a modern “triumvirate” of Archer Aviation (ACHR) and defense tech firm Anduril to form a strategic alliance that brings together cutting-edge aerial mobility, autonomous defense systems, and AI-enabled data insight.
Similar to Rome’s ancient triumvirate, this alliance brings together each of the individual capabilities of three revolutionary firms to disrupt traditional defense contractors and rethink how national defense is designed, deployed, and scaled.
The timing is important. On March 13, Archer and Palantir launched a partnership to build AI infrastructure for next-generation air systems. They will collaborate on optimizing critical infrastructure such as air control and route planning — decades-old systems that are untouched. Prior to this, in December 2024, Archer also collaborated with Anduril to co-develop hybrid eVTOL aircraft for defense. Anduril and Palantir independently formed a consortium to deliver AI capabilities to the U.S. government, and this trio is a next-generation alternative to legacy defense firms.
For Palantir, this partnership reinforces its long-term vision. It gains a new source of government-backed expansion in a dynamic geopolitical environment in which speed and agility are coupled with data to establish military dominance.
About Palantir Stock
Palantir Technologies (PLTR) is a big data analytics company that provides advanced intelligence products to government agencies, financial institutions, and health organizations, among other commercial customers. Denver-based Palantir has made a reputation for itself through its flagship platforms, Palantir Gotham and Palantir Foundry, which are used for predictive analytics, security, and operational insight.
Palantir has been highly volatile in 2025 with a 52-week range of a low of $20.33 to a high of $125.41. It reached a high in February of over $120 before declining around 30% to its recent price near $89. However, Palantir remains one of this best-performing stocks over the past 52 weeks, up 262% in that time.
Valuation is a major concern for investors. Palantir’s price-sales ratio of 70.47x and price-to-book ratio of 39.53x reveal that investors are paying a huge premium for its AI story. Although leadership in AI analytics and increasing government contracts provide long-term tailwinds, an extended valuation in a higher-interest-rate environment has made some investors wary.
Palantir Stock Beats Earnings, Revenue Estimates
Palantir reported Q4 2024 EPS of $0.14, beating Street estimates. Revenue increased by 36% year-over-year to $828 million, surpassing estimates. Revenue in the U.S. increased by 52% year-over-year to $558 million, with U.S. commercial revenue increasing by 64% year-over-year to $214 million. U.S. government revenue increased by 45% year-over-year to $343 million, representing Palantir’s expanding presence in federal contracts.
The free cash flow for the company was $517 million with a margin of 63%, and cash flow from operations was $460 million with a margin of 56%. GAAP net income was $79 million with a margin of 10% and adjusted net income was $341.9 million after excluding stock-based compensation.
In the future, Palantir has estimated first-quarter revenue for 2025 to be $858 million to $862 million, up by 30% on a year-over-year basis. Adjusted operating income for the quarter is estimated to be $354 million to $358 million. Palantir has estimated revenue for the full year 2025 to be $3.741 billion to $3.757 billion, up by 31%, with an estimated adjusted free cash flow of $1.5 billion to $1.7 billion.
What Do Analysts Anticipate for Palantir Stock?
There are 19 analysts that cover Palantir with a “Hold” consensus rating and an average recommendation of 2.84 against last month’s rating of 2.61. Palantir has a mean target of $84.22, which is below its current price.
Analysts remain highly polarized. The top target is $125, representing a possible 43% increase, while the lowest is $18, representing a possible 79% decline. This is a large difference that reflects skepticism regarding Palantir’s valuation and future direction.
Even with AI leadership and strong government contracts, Palantir’s valuation and macroeconomic risks make it tricky for investors to know whether recent weakness in the company is a buying opportunity or a precursor of more pain to come.
