Wedbush shared positive views about Palantir Technologies’ (NASDAQ:PLTR) future while raising the price target on the shares of the company to $90 from $75 and maintaining its Outperform rating.
Analyst Dan Ives said their recent checks and growing confidence in the company’s AI strategy is key to the bull thesis for 2025 on Palantir — which provides software platforms for the intelligence community.
“We believe Palantir has a path to become the next Oracle (ORCL) or Salesforce (CRM) over the coming years,” said Ives in a post on X, formerly Twitter.
Ives and his team added that while Palantir’s valuation is expensive today, they see the company as a core winner in the trillions of AI spend over the next few years.
The analysts noted that Palantir remains one of their top names to own in 2025 as its game-changing AIP — the company’s artificial intelligence platform — strategy is quickly becoming a key foundational platform for enterprises heading down the AI use case path across verticals.
New and existing customers across the commercial and federal landscapes are waiting in line to sign up for multiple aspects of the Palantir tech stack as the company introduces new valuable use cases to customers with more organizations seeking to drive efficiencies on the back of AI with the company leading the charge, the analysts added.
Ives and his team believe the Street is underestimating the more than $1B revenue stream that Palantir’s AIP U.S. commercial business can evolve into over the next few years and the technology competitive moat that CEO Alex Karp and company have built.
In addition, the analysts said that the Trump Administration represents an additional tailwind for Palantir with AI initiatives within the U.S. government including the Department of Defense, accelerating as AI remains a strategic focus on the federal front.
The stepped up AI investments now being seen under the Trump Administration with Project Stargate should benefit Palantir on the government vertical as more focus within the Beltway heads down the strategic AI infrastructure build-out stage, according to the analysts.
Ives and the team noted that Palantir is in the sweet spot to benefit from a tidal wave of federal spending on AI.
Wedbush has maintained its Outperform rating on Palantir.
Palantir stock fell about 1% premarket on Thursday.