TLDR
- Palantir stock fell 2% to $131.94 on Tuesday, down 26% in 2026 and 36% from its all-time high of $207.18 set in November 2025.
- Wolfe Research upgraded PLTR from Underperform to Peer Perform, but did not assign a price target.
- Wolfe called Palantir “the most applied enterprise AI software company” but said the stock remains “the most expensive in software.”
- UBS maintained its Buy rating and $200 price target, despite investor concerns about competition from OpenAI, Anthropic, and Databricks.
- Of 32 Wall Street firms tracked by FactSet, PLTR holds an average Overweight rating with a consensus price target of $189.87, implying 44% upside.
Palantir Technologies (PLTR) got an upgrade from Wolfe Research on Tuesday. The stock still fell 2%.
That tells you something about where investor sentiment stands right now.
Palantir Technologies Inc., PLTR
PLTR dropped to $131.94 on Tuesday, extending a rough stretch that has seen the stock shed 26% in 2026. It is down 16% in June alone, and sits 36% below its record closing high of $207.18, hit on November 3, 2025.
By contrast, the S&P 500 has gained 10% year to date, and the Nasdaq Composite is up around 14%.
Wolfe Research analysts Alex Zukin and Joshua Tilton resumed coverage of PLTR with a Peer Perform rating, upgraded from their prior Underperform. There is no price target attached to the call.
Their take is a classic good-news-bad-news situation. On one hand, they see Palantir as the leading applied enterprise AI software company, with the fastest growth rates in the industry. On the other, they say the stock’s current valuation “is still the most expensive in software.”
PLTR trades at a forward price-to-earnings ratio of roughly 77.4 times, compared to the S&P 500’s 21.07 times.
“We love the business,” Zukin wrote, “and if growth trends closer to our upside scenario we could find ourselves looking at an entry point too good to ignore.” For now though, the firm sees the current multiple as already pricing in much of the improved growth and margin outlook.
Ontology in Focus
The Wolfe team pointed to Palantir’s Ontology platform as the key differentiator. It is a proprietary database that connects AI and human decision-making to automate operations across enterprises. Zukin noted that Ontology sales and backlog are accelerating in 2026, which he called a positive signal.
Earlier Tuesday, UBS analyst Karl Keirstead also weighed in, reiterating a Buy rating and a $200 price target. Keirstead held his stance even after a meeting with Palantir management focused heavily on competitive threats.
Competition Questions
The dominant investor question in that UBS meeting was whether rivals like OpenAI, Anthropic, and Databricks — all of whom are building field deployment teams and data context layers — could eat into Palantir’s ontology moat.
Palantir pushed back, arguing its operating system goes well beyond deploying large language models or ingesting data. The company said it does not expect large language model providers to achieve material success moving into the data layer.
Palantir’s gross profit margin sits at 84%, which UBS cited as evidence of pricing power and competitive positioning.
According to InvestingPro, 21 analysts have recently revised their earnings estimates upward.
Other recent developments include Rosenblatt reiterating a Buy rating following customer wins and a Google Cloud partnership announced at AIPCon 10. Baird also maintained an Outperform rating with a $200 price target after its own investor meetings with Palantir management.
The UK government announced a planned review of Palantir’s contract with the National Health Service.
Of 32 firms tracked by FactSet, PLTR carries an average Overweight rating with a consensus price target of $189.87, representing 44% potential upside from current levels.
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