Palantir Surges 1.48 as $14.1B Volume Ranks Sixth Amid AI Expansion and $10B Army Contract

On August 7, 2025, Palantir (PLTR) closed with a 1.48% gain, trading on a daily volume of $14.12 billion, ranking sixth in market activity. The stock’s performance aligns with ongoing momentum driven by artificial intelligence (AI) expansion and strategic contract growth.

Analyst sentiment has turned bullish following Palantir’s Q2 results, which included a $68 million revenue beat and a record 48% year-over-year revenue growth. Piper Sandler upgraded its price target to $182 from $170 while maintaining an “Overweight” rating. The firm highlighted robust demand in both U.S. commercial and government sectors, with the latter bolstered by a $10 billion 10-year Army contract. U.S. commercial revenue surged 93% year-over-year to $306 million, underscoring untapped AI platform potential for enterprise clients.

Palantir’s AI-driven platforms, including Gotham and Apollo, are central to its growth narrative. The company reported 157 large-value deals in Q2 2025, with U.S. commercial contracts of at least $1 million doubling from the prior year. Margins also expanded significantly, with adjusted operating income hitting $464 million in Q2—a 46% margin, up from 37% in Q2 2024. These metrics reinforce the firm’s ability to sustain high-margin operations amid aggressive AI investments.

Despite its strong fundamentals, Palantir’s valuation remains elevated, trading at 287 times forward earnings. Analysts caution that while its unique growth model justifies a premium, the stock carries inherent risks. Institutional adoption of its data analytics tools and expanding government contracts continue to drive long-term confidence.

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