In the wake of Palantir (NASDAQ: PLTR) hitting a new record high of $150, a Wall Street analyst at Mizuho sees further upside for the American software giant, though with caution.
As of press time, PLTR was trading at $148.58, down 0.38%, a slight pullback from its record high of $150.32.
In a note on Tuesday, Mizuho analyst Gregg Moskowitz upgraded Palantir to ‘Neutral’ from ‘Underperform’ and raised his price target to $135 from $116, implying an 8.7% drop from the current level.
The move follows what Moskowitz called Palantir’s “stunning” execution across both its commercial and government segments, which saw upward revisions that the firm “very much underestimated.”
He noted Palantir appears on track to accelerate revenue growth for a fifth straight quarter when it reports Q2 results in early August.
Moskowitz also highlighted Palantir’s unique position to benefit from long-term trends in artificial intelligence (AI), government digital transformation, and industrial modernization.
PLTR stock concerns
However, he tempered his praise, warning that Palantir’s valuation has soared “dramatically above anything else in software,” leaving it vulnerable to a sharp pullback in the coming quarters.
“While we continue to worry that the shares could suddenly be subject to material multiple reversion at some point over the next few quarters, PLTR’s uniqueness demands a great deal of credit,” he said.
Meanwhile, Wedbush Securities offered an even more bullish view last week. On July 10, the firm raised its Palantir price target to $160 from $140, maintaining an Outperform rating.
Analysts cited strong momentum from AI initiatives and federal spending in the U.S. and Europe, calling Palantir a “top AI winner” with its AIP platform and saying it’s on track to become the “next Oracle,” despite its premium valuation.
Overall, Wall Street remains cautious. According to TipRanks data from 16 analysts, the average 12-month price target is $106.71, approximately 28% below current levels.
Of those analysts, three rate the stock a ‘Buy’, nine recommend ‘Hold’, and four suggest ‘Sell’, reflecting a consensus ‘Hold’ rating.
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