Overview
- Wedbush’s Daniel Ives reaffirmed an Outperform rating with a $230 price target, calling fears about AI upending software business models overblown and seeing 77% upside from current levels.
- Baird and HSBC upgraded Palantir to Buy with targets of $200 and $205 after the company posted accelerating profitability, with some 2027 free cash flow estimates rising from about $4 billion to nearly $6 billion.
- Deutsche Bank raised its target to $200 but kept a Hold rating, citing rich multiples at roughly 70x EV to 2027 unlevered free cash flow excluding SBC and about 93x including SBC, while noting a $7.2 billion cash balance and a modest 2025 buyback plan.
- Q4 revenue reached about $1.41 billion, up roughly 70% year over year, as total contract value bookings hit a record $4.3 billion and the company closed 61 deals above $10 million with U.S. commercial revenue jumping 137% to $507 million.
- Management emphasized deeper spend from existing customers—customer count rose to 954, up about 34% year over year, while average revenue among the top 20 customers climbed to $94 million each—against a backdrop of recent share volatility including a 2026 year-to-date decline reported at 27%.