TLDR
- PLTR shares climbed 5.8% on Monday and have gained 13% across four consecutive sessions amid US and Israeli strikes on Iran.
- Last month saw eight Wall Street analysts upgrade Palantir during a steep 38% decline from its November peak.
- Rosenblatt Securities boosted its target to $200 from $150, pointing to conflict-driven appetite for Palantir’s defense AI capabilities.
- A US government directive on Feb 27 mandated a six-month withdrawal from Anthropic’s AI systems, potentially benefiting Palantir.
- Buy ratings from analysts covering PLTR have more than doubled to 20 out of 31, up from nine at 2026’s start.
Palantir Technologies has endured a turbulent stretch. Shares plummeted 38% between the November 3 peak and a February 24 trough, weighed down by valuation debates and backlash over partnerships with ICE and the Department of Homeland Security. Investor Michael Burry’s sharp criticism regarding the company’s expansion prospects added pressure.
Palantir Technologies Inc., PLTR
The narrative has reversed quickly.
Military action by the US and Israel against Iran ignited renewed interest in PLTR shares last week. Monday’s session delivered a 5.8% advance, extending the four-day rally to 13%. The Trump administration indicates the confrontation may persist for weeks. Iranian leadership hints at a potentially longer timeline.
For an organization generating approximately half its income from US government and defense contracts, such geopolitical developments carry significant weight.
“The stock’s positive movement reflects an emotional response to Palantir’s government and military positioning,” explained Tim Pagliara, chief investment officer at Capwealth Advisors. “The conflict underscores how deeply embedded the company is within government operations and the competitive advantage that creates.”
This surge follows a flurry of favorable analyst revisions. Eight firms elevated their PLTR assessments last month, including UBS, Mizuho, HSBC, Baird, and William Blair. Among 31 analysts currently tracking the stock, 20 recommend buying, with the average price objective hovering around $190 — suggesting roughly 31% potential appreciation from Monday’s closing price.
Early in 2026, only nine analysts maintained buy recommendations. The transformation is striking.
Rosenblatt Elevates Price Objective to $200
Rosenblatt Securities established a particularly aggressive stance. The firm increased its target to $200 from $150 while maintaining its Buy recommendation, emphasizing global uncertainty and demand for conflict-related solutions. Analyst John McPeake at Rosenblatt anticipates the Middle East situation will showcase the superiority of Palantir’s comprehensive platform compared to isolated large language models.
The revised target applies a 1.2x price-to-earnings growth multiple, elevated from 0.9x, calculated against 88 times projected 2027 earnings. Rosenblatt continues publishing the Street’s most optimistic 2027 financial projections for Palantir.
The firm also highlighted a significant regulatory development: on February 27, federal agencies received orders to discontinue Anthropic’s AI technologies, following Anthropic’s statement one day earlier that its models shouldn’t power fully autonomous weaponry. A six-month transition away from Anthropic’s large language models was implemented. Operation Epic Fury launched at 01:15 ET on February 28.
Rosenblatt views this as advantageous territory for Palantir.
Solid Earnings Foundation
The upgraded ratings stem from concrete fundamentals. Palantir’s latest quarterly results exceeded analyst projections and featured revenue guidance significantly above consensus. Anticipated revenue expansion of 73% over the coming 12 months places it fifth among S&P 500 constituents.
In a February 26 research note, UBS analyst Karl Keirstead described Palantir as “the premier growth story in software,” noting the valuation has reached “a level that many investors can make a strong valuation case for the stock.”
Valuation remains a legitimate consideration. PLTR currently commands approximately 104 times forward earnings and 45 times projected forward sales — positioning it as the S&P 500’s most expensive stock on a price-to-sales metric. Its P/E multiple registered at 247 times as recently as October 30.
Shares currently change hands at $145.17, representing a 30% discount from the 52-week peak of $207.52, yet reflecting a 74% gain over the trailing year.
Seventeen analysts have raised earnings forecasts for the upcoming period, according to InvestingPro data.
