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Palantir (PLTR) Stock Soars on 2Q Blowout—But Is It Too Expensive to Buy Now?

Palantir Technologies Inc. (NASDAQ:PLTR) is one of the Top AI Stocks Taking Wall Street by Storm. On August 5, Raymond James analyst Brian Gesuale reiterated a Market Perform rating on the stock. The rating affirmation follows Palantir’s blowout quarter, exceeding across multiple metrics.

“PLTR posted another exceptionally strong 2Q25 and guide that was above our Street high model. The fundamentals were strong with a 7% top-line beat, U.S. commercial growth of 93% and a AEBIT beat of ~15%. The strong AIP momentum and demand across virtually all markets supported management’s raised guide (midpoint $4.15B vs. Street at $4.05B) that was 6.4% higher, AEBIT that was 11.6% better and a new FCF expectation of $1.9B (vs. prior $1.7B). Key metrics also impressed with $843M of U.S. Comm TCV closed (up 4% q/q, and 222%+ y/y), U.S. comm RDV of $2.8B (up 145% y/y), net dollar retention of 128%.”

A financial analyst working in a modern office, analyzing data to identify trends in the markets.

According to the firm, Palantir’s momentum is being fueled by both new customer adds (up 43% y/y to 849) and expansion with existing customers considering TTM revenue from top 20 was up 30% y/y to $75M/customer.

“The company is obliterating Rule 40/50 metrics posting 94, is talking about a 10x increase in revenue with a simultaneous reduction in headcount, and has truly established itself as a unicorn in such a way that seeing Palantir execute makes us want to revisit our thesis on Santa Claus and the Easter Bunny!”

While the firm is in awe of Palantir’s results and future potential, it did note valuation concerns considering the stock has expanded from 7x sales in 2023 to 74x sales currently. The firm continues to look for a better entry point as “  “fundamental momentum is only gathering steam”.

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

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: 10 AI Stocks Gaining Attention on Wall Street and Top 15 AI Stocks Taking Wall Street by Storm.

Disclosure: None.

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.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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