New York, Jan 6, 2026, 10:47 EST — Regular session
- Palantir shares rise about 2.6% after Truist starts coverage at buy with a $223 price target
- New bullish call lands after a triple-digit 2025 run that left the stock priced for strong growth
- Traders eye Friday’s U.S. jobs report and the timing of Palantir’s next earnings update
Palantir Technologies shares rose 2.6% to $178.59 in morning trading on Tuesday after Truist Securities initiated coverage of the data-analytics software maker with a buy rating and a $223 price target.
The call lands after Palantir delivered a gain of more than 130% in 2025, turning the stock into a lightning rod for debates over how much AI-related growth is already priced in. That matters now because high-multiple software names can swing sharply on new analyst views and shifts in rate expectations. 1
Truist said Palantir is positioned to help customers deploy generative AI — systems that can create text and other content — through its Artificial Intelligence Platform, and called the company a “best-in-class AI asset,” Investing.com reported. The report also pointed to stronger growth and operating leverage, while noting the stock’s elevated price-to-earnings multiple, a gauge of how much investors pay for each dollar of profit. 2
Valuation remains the sticking point: Palantir trades at a forward price-to-sales ratio around 70, MarketWatch reported, a metric that compares a company’s market value with its revenue. FactSet data compiled by MarketScreener show analysts’ mean rating is “hold,” with an average target price of $186.81. 3
The backdrop is a crowded race to scale enterprise AI offerings. Accenture said it agreed to buy UK-based AI firm Faculty, and CEO Julie Sweet said the deal would accelerate its strategy to bring “trusted, advanced AI” deeper into client operations — competition that underscores how fast large providers are moving into the same budget pools Palantir is chasing.
Palantir last lifted its outlook in November, projecting fourth-quarter revenue of $1.327 billion to $1.331 billion and raising its full-year revenue forecast, as demand for its AI-driven analytics tools expanded across commercial and government customers.
But the stock’s premium valuation leaves less room for execution slips. Any hint of slower commercial growth, delayed government spending, or softer guidance could hit the shares harder than the broader software group.
Investors are also watching for a confirmed reporting date for Palantir’s next quarterly results; Wall Street Horizon lists Feb. 2 after the market close as unconfirmed. Before that, a key near-term catalyst for rate-sensitive tech shares is Friday’s U.S. Employment Situation report for December 2025, due at 8:30 a.m. ET on Jan. 9.
