Palantir Technologies Inc. (NASDAQ:PLTR) is one of the The 15 Best-Performing AI Stocks Through 2026. On November 13, Freedom Capital Markets raised their price target on Palantir Technologies Inc. (NASDAQ:PLTR) from $125 to $170, but maintained a Sell rating.
This update came after the company reported third-quarter 2025 results, which exceeded both forecasts and market expectations. Palantir Technologies Inc. (NASDAQ:PLTR) reported strong growth in its US business segment. However, Freedom Capital noted that European operations remained stable. The company’s management provided fourth-quarter guidance above market expectations and raised its full-year 2025 outlook.
Freedom Capital also flagged potential risks for Palantir Technologies Inc. (NASDAQ:PLTR) in 2026. These include a potential slowdown in U.S. business growth after a record year, potential pressure on defense budgets, and margin challenges due to investments in hiring for its artificial intelligence initiatives. Freedom Capital believes the valuation of Palantir Technologies Inc. (NASDAQ:PLTR) stock is lofty and noted that the current high growth is unlikely to persist indefinitely.
Previously, on November 4, Morgan Stanley had also raised its price target on Palantir Technologies Inc. (NASDAQ:PLTR) from $155 to $205, but maintained an equal weight rating. The firm’s analyst noted that the company had reported its ninth consecutive quarter of accelerated growth. Morgan Stanley noted that this momentum is expected to grow, citing fourth-quarter growth guidance and strong new business bookings in the third quarter.
Palantir Technologies Inc. (NASDAQ:PLTR) is an American software company specializing in big data analytics and artificial intelligence platforms. The company serves key government and commercial enterprises.
While we recognize the potential of PLTR as an investment, we believe certain AI stocks offer greater growth potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that’s also benefiting significantly from Trump-era tariffs and the offshoring trend, check out our free report on best short-term AI stock.
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Disclosure: None. This article was originally published in Internal jumpsuit.