TLDR
- Palantir stock rose 8.8% on Wednesday to $127.22, its best four-day run in over a year
- The rebound follows a new strategic partnership with Nvidia to build custom AI models for the U.S. government
- Palantir had fallen 39% in 2026 and dropped 25% in June alone after a seven-day losing streak
- Wolfe Research rates PLTR “Peer Perform,” citing best-in-class enterprise AI but a premium valuation
- Analyst estimates project 39% revenue CAGR from 2026–2029, with an upside scenario of 55%
Palantir Technologies (PLTR) stock climbed 8.8% on Wednesday to $127.22, capping a four-day gain of roughly 19% since June 25. That’s a sharp turnaround for a stock that had been in freefall.
Palantir Technologies Inc., PLTR
The catalyst is a new strategic partnership with Nvidia announced on Monday. The two companies will work together to build custom AI models for U.S. government agencies, combining Nvidia’s AI platform with Palantir’s infrastructure products.
The goal is to give government agencies a secure system for training and deploying AI models. Palantir is calling it an “intelligent engine.”
CEO Alex Karp explained the logic on CNBC’s Squawk Box Wednesday. He said the partnership is about giving customers “control over their compute, their models, their data stack and their alpha.”
Karp also said Palantir has “critical infrastructure” across the U.S., Ukraine, and Israel. He added that AI large language models used “on the battlefield” run on top of Palantir’s Ontology platform.
The Ontology system takes AI models and makes them more secure and precise — which is a core part of what makes Palantir’s pitch to government clients different.
This isn’t the first Palantir-Nvidia collaboration, but the timing matters. The announcement landed just as PLTR was hitting its lowest point in months.
The Slide That Set Up the Bounce
Before this week’s rally, Palantir had been having a rough year. The stock had fallen 39% in 2026 and dropped 25% in June alone.
A seven-day losing streak from June 16 to June 25 pushed the stock below multiple key technical support levels. It bottomed out at $107.27 on June 25.
The broader fear driving the selloff: that AI could end up replacing the software platforms it runs on. Guggenheim pushed back on that narrative Wednesday, upgrading ServiceNow and Salesforce to Buy and calling the “AI kills software” thesis a “hallucination.”
Palantir also got a lift from financial disclosures showing that President Trump holds stakes in a number of companies, Palantir among them.
What Analysts Are Saying
Wolfe Research started coverage of PLTR on June 16 with a Peer Perform rating. Analyst Alex Zukin called Palantir’s enterprise AI product portfolio “the best product market fit of any enterprise software company in the market today.”
That strong view on the product wasn’t enough for a Buy rating though. The premium valuation remains the sticking point.
Wolfe’s numbers are worth noting: 150% net revenue retention, 85% year-over-year revenue growth, and a 97% year-over-year jump in residual deal value backlog — all with roughly 1,000 customers and 4,000 employees.
In its base case, Wolfe estimates a 39% revenue CAGR from 2026 to 2029. The upside scenario pushes that to 55%, against a total addressable market of over $385 billion.
PLTR also expanded a commercial deal with Surf Air Mobility this week, adding to the momentum.
As of Wednesday’s close, Palantir’s market cap sits at around $279.7 billion. Average daily trading volume is approximately 45 million shares.
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