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Analysts Stay Cautious on Palantir Technologies (PLTR) Despite Expansion Plans

Palantir Technologies Inc. (NASDAQ:PLTR) is among the top 10 stocks to buy from Cathie Wood’s stock portfolio. ARK Investment held around $736 million of Palantir stock at third-quarter-end, representing about 4.4% of its disclosed portfolio. Its stake, measured in terms of the number of shares, has only marginally decreased to 4.04 million from 4.08 million at the end of Q2.

As of market close on November 27, analysts hold a cautious outlook on Palantir Technologies Inc. (NASDAQ:PLTR), with nearly 80% of analysts covering it assigning a Hold or Sell rating. With a consensus 1-year median price target of $190, the stock has a 13% upside.

According to a November 14 Bloomberg report, Louis Mosley, Palantir’s UK head, said that Palantir Technologies Inc. (NASDAQ:PLTR) has outlined plans for a significant expansion in the UK. This “significant investment” will position the country as a core market for future defense-technology growth amid slower adoption across continental Europe. Mosley emphasized the UK as a strategic entry point into broader European defense markets. He stated:

“The UK can be an epicenter of defense and military technology development. It has all of those ingredients.” He also added, “The UK is the premier military power in Europe. I think it has the potential to be a key bridge into the rest of the continent.”

The report noted that the UK is accelerating its defense modernization, including investments in autonomous systems and AI-driven battlefield software that support these investments. Palantir Technologies Inc. (NASDAQ:PLTR) has already committed £1.5 billion to the region and is finalizing a new £750 million, five-year agreement with the Ministry of Defence.

Palantir’s CEO Alex Karp recently flagged “stagnant” European growth as a drag on overall performance. With roughly 1,000 employees in London, the office is Palantir’s second-largest globally, and the UK contributes around 10% to Palantir’s revenue.

Palantir Technologies Inc. (NASDAQ:PLTR) is a software company that builds and deploys data integration and analytics platforms for both government and commercial clients.

While we acknowledge the risk and potential of PLTR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PLTR and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Most Fantastic Stocks Every Investor Should Pay Attention To and 10 Hottest Smid-Cap Stocks So Far In 2025.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

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