TLDR
- Palantir secured Boeing Defense partnership to deploy AI across military factories and programs
- Bank of America upgraded price target to $215, citing strong defense growth momentum
- PLTR shares gained 141% year-to-date, trading near $190 with recent 15% monthly surge
- UK Ministry contract worth Ā£1.5 billion adds to expanding government business pipeline
- Mixed analyst sentiment with Hold consensus despite recent contract wins
Palantir Technologies continues building its defense portfolio with a new Boeing partnership. The data analytics firm will integrate AI systems across Boeing’s Defense, Space & Security operations.
The collaboration centers on Palantir’s Foundry platform. This AI system will standardize data analytics across Boeing’s global defense manufacturing facilities.
Boeing Defense CEO Steve Parker highlighted Palantir’s AI leadership in military applications. The partnership includes support for classified military initiatives beyond standard analytics.
Stock Performance Attracts Wall Street Attention
PLTR stock performance has been exceptional this year. Shares climbed 141% year-to-date, with a 15% gain in the past month alone.
Bank of America responded with a price target increase to $215 from $180. The firm maintained its Buy rating, citing application growth and defense partnerships.
Palantir’s financial metrics support the bullish outlook. The company posted 38.79% revenue growth with gross margins approaching 80%.
Recent Q2 results exceeded expectations. Quarterly revenue crossed $1 billion for the first time in company history.
Government Contracts Fuel Growth Projections
Defense contract wins are accelerating across multiple regions. The UK Ministry of Defence signed a five-year deal potentially worth Ā£1.5 billion.
NATO selected Palantir’s Maven Smart System earlier this year. The system will enhance alliance battlefield decision-making capabilities.
Analysts project government sales reaching $8 billion by 2030. This represents a 30% compound annual growth rate through the decade.
Commercial business growth complements defense expansion. Palantir raised full-year guidance based on AI demand across both segments.
Wall Street sentiment remains mixed despite recent wins. The consensus Hold rating reflects five Buy, 12 Hold, and two Sell recommendations.
Average price targets sit at $159.47, suggesting 12.6% downside from current levels. Bank of America’s $215 target represents the Street high.
Mizuho and UBS maintain Neutral ratings with $165 targets. William Blair keeps a Market Perform view without specific price guidance.
The defense sector momentum builds on existing NATO and government relationships. Palantir’s Maven system integration demonstrates growing military AI adoption.
Boeing’s partnership adds manufacturing analytics to Palantir’s government portfolio. The deal expands beyond traditional data analysis into operational AI integration.
Revenue growth consistency has impressed investors throughout 2025. The company’s ability to exceed guidance multiple quarters running supports higher valuations.
Defense spending trends favor AI integration companies like Palantir. Government clients increasingly prioritize advanced analytics for military applications.
Bank of America’s upgrade reflects confidence in sustainable growth rates. The firm sees continued expansion in both commercial and government segments driving performance.
