Over the past year, Palantir Technologies (PLTR) has emerged as one of the tech sector’s breakout sensations. The data analytics company has successfully expanded into multiple booming industries, capitalizing on the AI boom exceptionally well.
Many tech stocks have struggled recently against highly volatile market conditions as economic uncertainty continues to push even the strongest sectors down. Like many of its peers, PLTR has struggled over the past month, falling from $125 per share to its current price of less than $80.
Even so, many experts remain optimistic that the company will continue to grow, even as its beta raises volatility questions. Wall Street veteran Chris Versace recently added it to TheStreet Pro’s bullpen.
He isn’t the only one who sees Palantir as having room to run, even as shares continue to trend downward. A prominent investing expert recently highlighted a positive update that could be a growth-driving catalyst in the near future.
Palantir CEO Alex Karp recently had an important update to share and experts are taking note.
A top VC sees highlight Palantir’s AI update
A key component of Palantir’s recent growth has been its lucrative relationship with the U.S. military. The company has provided software and AI solutions to multiple branches, benefiting significantly as the U.S. Department of Defense has doubled down on AI technology.
On March 7, the company announced that it had delivered its first TITAN (Tactical Intelligence Targeting Access Node) systems to the U.S. military. Palantir describes these mobile ground stations as able to “harness AI to collect data from space sensors to assist soldiers with warfare strategy and improve strike targeting and accuracy.”
Related: Veteran trader who predicted Palantir’s rally makes key move after stock drop
Palantir’s update caught the attention of someone who is well-versed in tech and investing. Chamath Palihapitiya is best known as a venture capitalist who has been successful in the field of special purpose acquisition companies (SPACs).
Palihapitiya is also a frequent blogger who shares his thoughts on tech-related matters on Subtack. This includes a weekly column that lists news articles that he’s read over the past week, typically presented simply as a list with no personal context.
In last week’s news roundup, he included Palantir’s TITAN announcement, listing the development under stories that had caught his eye, providing a basic overview of the company’s progress, and noting other key details that he sees as pertinent. Palihapitiya also shared the list in a thread on his X profile.
“TITAN operates without requiring cloud connectivity, allowing for autonomous decision-making by processing satellite imagery and signals intelligence directly within the vehicles’ onboard computing systems,” he states, highlighting the importance of Palantir’s breakthrough.
Nvidia-backed startup could be hottest tech IPO of the yearExperts raise red flags regarding new AI startup evaluation toolShort sellers are closing in on some shocking tech stocks
Palihapitiya also highlights that Palantir collaborated with other leading defense contractors, including Northrop Grumman (NOC) and L3Harris Technologies (LHX,) to develop the TITAN systems. He notes, though, that Palantir successfully procured the $178 million contract over RTX Corporation (RTX) in March 2024.
Experts agree that Palantir stock remains an AI winner
Indeed, Palihapitiya isn’t offering any direct commentary on Palantir stock or making bullish predictions. However, the fact that he reveals that the story caught his eye indicates that he believes it is important.
Related: Analyst who predicted Palantir rally picks best AI software stocks
The Substack post highlights only three stories, one of which is Palantir’s TITAN announcement. However, it also features a section on X posts, one of which is from investor Jack Prescott, and highlights the news that Palantir stock will be entering the S&P 100, another update that is seen as largely positive.
As noted, this positive sentiment toward Palantir seems to be spreading and not swaying investors away from it. “While much has been made about the company’s exposure to the federal government, its software is used across 90 industries, and the larger global government sector accounted for 55% of revenue last year,” reports Versace.
Fellow veteran trader Stephen Guilfoyle, who flagged Palantir as his “single best trade” in 2024, doubled down on his PLTR position last week, highlighting it as a potential “buy-the-dip candidate” despite a questionable market outlook for software services stocks.
Related: Veteran fund manager unveils eye-popping S&P 500 forecast
