Palantir (PLTR) Called a “Category of One” as Analysts Upgrade the Stock

Palantir Technologies Inc. (NASDAQ:PLTR) is one the Top 10 AI Stocks in Focus on Wall Street. Palantir Technologies Inc. (NASDAQ: PLTR) has received fresh analyst support after analysts pointed out a significantly de-risked valuation following a steep contraction in its forward multiples. On February 18, Mizuho analyst Gregg Moskowitz upgraded the stock from Neutral to Outperform with a price target of $195.00.

Praising Palantir’s business performance, Mizuho described PLTR as a”category of one”, pointing to the company’s combination of revenue growth, accelerating performance, and margin expansion at a scale unlike others in software.

Palantir (PLTR) Called a “Category of One” as Analysts Upgrade the Stock

For several months, the firm shared a concern that PLTR’s shares may suddenly face meaningful reversion at some point. They highlighted that Palantir’s estimated 2026 enterprise value-to-free-cash-flow (EV/FCF) multiple has contracted by an estimated 46% in the early weeks of the year.

With PLTR’s 2026E EV/FCF valuation multiple having fallen 46% in the first six weeks of the year, we believe the de-rating has occurred and that the risk/reward is now attractive.

Palantir Technologies Inc. (NASDAQ:PLTR) is a leading provider of artificial intelligence systems.

While we acknowledge the potential of PLTR to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PLTR and that has 100x upside potential, check out our report about this cheapest AI stock.

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