The second term of President Donald Trump has ushered in a dramatic expansion of U.S. Immigration and Customs Enforcement’s (ICE) role, transforming the agency into the centerpiece of the administration’s aggressive immigration crackdown.
Since January 2025, ICE has more than doubled its workforce, received historic funding infusions through major legislation such as the One Big Beautiful Bill Act, and overseen record-high detention levels.
This turbocharged mandate has created significant opportunities for technology providers supporting ICE’s data analytics, tracking, and operational needs, driving strong performance in related stocks throughout 2025 and positioning the sector for continued upside as enforcement priorities extend into 2026.
Over the past year, several stocks tied to ICE activities posted notable price gains, raising the question of whether they still offer an attractive investment case in 2026.
Palantir Technologies (NASDAQ: PLTR)
Palantir Technologies (NASDAQ: PLTR) delivers advanced data integration and artificial intelligence (AI) platforms that enable ICE to analyze vast datasets for investigations, targeting, and enforcement prioritization.
The company’s longstanding partnership with ICE has expanded significantly in recent years, highlighted by a $30 million contract awarded in April 2025 to develop ImmigrationOS, a comprehensive surveillance and operational system designed to streamline immigrant tracking, monitor self-deportations, and enhance deportation logistics.
The deal, with a prototype delivered by September 2025 and obligations extending through 2027, includes software maintenance and adaptive services, contributing to total outlays exceeding $86 million by late 2025.
Notably, Palantir’s stock surged from $75 at the end of 2024 to $177 by December 31, 2025, delivering a 135% increase partly driven by enforcement-related revenues and broader government contract momentum. As of the last market close on January 9, 2026, PLTR traded at $177.
L3Harris Technologies (NYSE: LHX)
L3Harris Technologies (NYSE: LHX) supplies critical communications systems and surveillance equipment that bolster ICE’s field operations, including real-time location tracking for investigative work.
A key agreement involves a $4.4 million contract for technology used to determine the location of targeted mobile handsets, directly supporting ICE’s crime-fighting and border security initiatives.
This deal remained active through 2025 and was complemented by an additional $4.8 million firm fixed-price order in September for operational support.
L3Harris shares advanced from $210 to $293.57 by the close of 2025, marking a 40% gain.
With ICE’s expanded capabilities and funding locked in for years ahead under the current administration’s priorities, Palantir and L3Harris Technologies remain integral to the agency’s infrastructure. Their combined average return of 87% in 2025 underscores the potential rewards in this space, although market volatility and policy developments warrant close monitoring.
Featured image via Shutterstock
