Palantir (PLTR) Stock: New Analyst Coverage Brings Buy Rating and $208 Target

TLDR

• Phillip Securities initiated coverage on Palantir with a Buy rating and $208 price target, representing a 25% upside from current levels
• The firm expects revenue to grow 47% year-over-year to $4.2 billion in FY25, with commercial revenue growing faster than government revenue at 51%
• Net profit is projected to nearly double in FY25, driven by better scale and higher-value contracts
• U.S. market accounts for 66% of revenue and is expected to grow 66% year-over-year, fueled by government demand and commercial AI platform adoption
• U.S. commercial deal sizes roughly doubled in Q3 FY25, showing strong momentum in the company’s AI business

Phillip Securities analyst Alif Fahmi launched coverage on Palantir Technologies with a Buy rating and set a $208 price target on Thursday. The target price suggests a 25% upside from current trading levels.

Palantir Technologies Inc., PLTR

The analyst sees the company entering a period of faster growth. Strong demand from U.S. customers and rising adoption of AI tools across businesses are driving this expansion.

Fahmi projects revenue will climb 47% year-over-year to $4.2 billion in fiscal year 2025. Commercial revenue is expected to grow even faster at 51%, outpacing government revenue growth of 43%.

This shift reflects growing enterprise adoption of AI tools. The company is also expanding beyond its traditional defense sector roots into broader industry applications.

The commercial momentum is particularly strong in the United States. Deal sizes in the U.S. commercial segment roughly doubled during the third quarter of fiscal 2025.

Profit Growth Set to Accelerate

Net profit is forecast to nearly double in FY25. Better operational scale and a shift toward higher-value contracts are expected to drive this improvement.

The U.S. remains the company’s primary growth engine. The region represents about 66% of total revenue.

Fahmi expects U.S. sales to surge 66% year-over-year in FY25. Multiple factors are driving this growth.

Government demand is increasing due to global tensions. U.S. intelligence spending is also on the rise.

The commercial business is gaining traction at the same time. Strong uptake of the AI platform is fueling this growth.

Valuation Considerations and Market Position

The analyst acknowledges the stock trades at elevated levels. The forward price-to-earnings ratio sits at 170 times as of January 16, 2026.

However, Fahmi believes strong growth and improving fundamentals support room for further gains. The current multiple sits below the negative one standard deviation level of 190.

Phillip Securities used a DCF-based model for the $208 target. The firm assumed an 8.3% weighted average cost of capital, a 4.2% risk-free rate, and an 8% terminal growth rate.

On TipRanks, the stock has a Hold consensus rating. Six analysts recommend Buy, 10 suggest Hold, and two rate it Sell based on coverage from the last three months.

The average price target among analysts stands at $193.76. This implies a 17.20% upside from current levels.

The company recently renewed its three-year contract with France’s domestic intelligence agency, DGSI. This partnership started almost a decade ago.

Palantir also expanded its strategic partnership with HD Hyundai in Korea. This represents the company’s largest collaboration in the region and will enhance adoption of Foundry and the AI Platform across HD Hyundai business units.

The post Palantir (PLTR) Stock: New Analyst Coverage Brings Buy Rating and $208 Target appeared first on CoinCentral.