New York, Feb 16, 2026, 10:21 EST — Market closed
Palantir Technologies (PLTR.O) closed Friday at $131.41, up 1.8% and breaking its two-day losing streak. Freedom Capital Markets gave the stock a boost, upgrading it two levels from “Sell” to “Buy” in a note highlighting increased demand for Palantir’s AI software. Wall Street Journal
That shift shapes expectations heading into a week with one less trading day. U.S. stock markets close Monday for Presidents Day—trading picks back up Tuesday.
Timing is key here: Palantir’s been a momentum-driven trade this month, with sharp pops and just as rapid pullbacks. Fresh analyst calls have the power to move it. Plus, the U.S. market holiday means decisions get punted to Tuesday’s open, a window where both liquidity and risk tolerance can shift.
Freedom Capital Markets is sticking with its $170 price target, which represents about 29% potential upside from Friday’s close. The firm called the recent dip “unjustified,” pointing to persistent demand for Palantir’s Artificial Intelligence Platform, or AIP. That software layer lets clients run AI on their own data, usually kicking off with small-scale pilots that sometimes grow into bigger deals. Investing.com
Friday gave the stock a lift, but it’s still off roughly 17% from where it closed on Feb. 3, recent trading data show. It’s a sharp turn in sentiment for the shares.
The valuation fight played a big role in the move. Palantir dropped 6.2% on Feb. 12, hit after investor Michael Burry fired off a lengthy newsletter taking aim at the AI investment cycle. DA Davidson countered, saying it saw “no new reason to worry about Palantir,” but noted the stock’s price tag is “expensive”—so it stuck with its neutral rating. Investing.com
Palantir, which provides data-analysis software for both government and corporate clients, has seen its shares become something of a stand-in for “enterprise AI.” That tag draws buyers looking for growth, but when investors turn cautious about expensive stocks, it can drag on the name.
But the upside scenario faces the same old hurdles. Should customers pull back on spending, or if overseas demand stays weak, shares could drop in a hurry. Analysts are keeping an eye on whether Palantir’s growth is still tied to those large government contracts, or if it’s really coming from more consistent commercial deals.
On Tuesday, traders are eyeing Friday’s upgrade to see if it lasts when the market opens. The focus also shifts to the low-$130 zone—after a volatile week, the question is if buyers step in there.
Earnings remain the next major event. Palantir hasn’t set its date yet, though May 4 is being listed by market calendars as the unconfirmed slot for its first-quarter numbers, expected after the bell.
