TLDR
- Palantir stock closed around $180 on October 20, 2025, up roughly 300% year-to-date with a market cap near $400 billion.
- The UK government signed a partnership worth up to £1.5 billion in September 2025, including a £750 million Ministry of Defence contract over five years and a London-based European headquarters.
- Q2 2025 revenue jumped 48% year-over-year to $1.03 billion, with net income up 144% and full-year revenue guidance raised to approximately $4.15 billion.
- The stock trades at over 100 times price-to-sales, among the highest ratios on the S&P 500, with Wall Street consensus at “Hold” and median targets below current prices.
- Palantir reports Q3 earnings on November 3, 2025, with guidance expecting revenue above $1.08 billion for the quarter.
Palantir Technologies stock closed at approximately $180 on October 20, 2025. The company’s market cap now sits around $400 billion.
The surge represents a roughly 300% gain year-to-date. This makes Palantir one of the best-performing stocks in 2025.
Palantir Technologies Inc., PLTR
The UK government announced a partnership with Palantir on September 18, 2025. The deal includes up to £1.5 billion in planned investment.
UK Defence Secretary John Healey called it “a major vote of confidence in UK leadership in defence, data and AI technology.” The agreement designates London as Palantir’s European defense headquarters.
The partnership includes the largest-ever UK contract Palantir has secured. The Ministry of Defence agreement is worth approximately £750 million over five years.
The deal will create around 350 new UK tech jobs. Palantir will embed its AI data tools across UK military, intelligence and policing operations.
The company’s AI platform has been driving customer adoption. One client reduced production line balancing time from one day to one hour using Palantir’s tools.
Revenue Growth Accelerates on AI Demand
Palantir reported Q2 2025 revenue of $1.03 billion, up 48% year-over-year. Net income jumped 144% in the same period.
Management raised full-year revenue guidance to approximately $4.15 billion. This represents 45% growth for 2025.
First-half 2025 revenue reached $1.9 billion, growing 44% compared to the prior year. That’s nearly double the 24% growth rate from the first half of 2024.
Net income for the first two quarters of 2025 was $541 million. This marked a 125% increase from year-ago levels.
The U.S. commercial and government segments are both showing strong performance. AI software adoption continues to drive demand across these areas.
Palantir has earned positive GAAP net income consistently since Q4 2022. The company has now been profitable for nearly three years.
Valuation Concerns Mount Despite Strong Results
The stock trades at over 100 times price-to-sales. This ranks among the highest multiples on the S&P 500.
Palantir’s price-to-earnings ratio stands around 590. The S&P 500 average is roughly 31.
The forward P/E ratio sits near 280. Even Palantir’s forward metrics show extreme premium pricing compared to typical growth stocks.
Wall Street’s consensus rating is “Hold” with 19 analysts covering the stock. Only 3 of those analysts rate it a “buy.”
Median 12-month price targets sit at approximately $157. This suggests potential downside of about 10% from current levels.
One forecast model predicts Palantir could trade at $120 in one year. That would represent a decline of over 30% from the October 20 closing price.
Wedbush analyst Dan Ives predicts Palantir could reach a $1 trillion valuation by 2028. This would roughly triple the current market cap.
Other analysts suggest semiconductor companies like ASML and AMD could surpass Palantir’s market cap within one to two years. ASML has a market cap near $350 billion while AMD sits around $405 billion.
Some forecasts indicate Palantir could overtake Oracle’s market cap by 2030. Oracle currently has a market cap in a similar range but generates far more revenue at approximately $65 billion annually.
Palantir reports Q3 2025 earnings on November 3 after the market close. Management guided for Q3 revenue between $1.083 billion and $1.087 billion, representing roughly 8% sequential growth.
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