Palantir Just Made Major Power Moves – What Does This Mean For Investors?

Palantir Technologies (ticker: PLTR) is one of those companies that keeps showing up in all the right (and sometimes surprising) places – AI, defense, cybersecurity, global geopolitics… and now, more than ever, your portfolio.

Founded in 2003 and once known as a secretive data contractor for governments, Palantir has evolved into a major player in the AI arms race.

Its software powers everything from battlefield simulations to hospital systems to national security planning.

But here’s the thing: Palantir isn’t your average tech stock. And its CEO, Alex Karp, isn’t your average tech bro.

In fact, he recently published a book called The Technological Republic, where he argues that in today’s world, data and defense go hand in hand – and that countries need to build their own AI tools to stay sovereign and secure. If that sounds intense… it is.

And it gives you a peek into how Palantir thinks about its role in the future of global power.

So, is this company just another AI hype train? Or are we looking at a quiet power player shaping the next chapter of tech and geopolitics?

Let’s break it down.

At Invest Diva, we use the IDDA Analysis to help you evaluate whether a company aligns with your strategy – not just Wall Street’s. Here’s a quick look at how it works:

• Capital Analysis – What’s your risk tolerance?
• Intentional Analysis – What are your goals, timelines, and lifestyle needs?
• Fundamental Analysis – Is the company strong, profitable, and competitive?
• Sentimental Analysis – What’s the market’s current vibe? Hype? Fear? Confidence?
• Technical Analysis – What’s the stock’s price behavior telling us?

Let’s dive into the IDDA analysis to assess Palantir’s fundamental, sentimental, and technical outlook.

IDDA POINT 1&2 – CAPITAL & INTENTIONAL

The capital and intentional analysis need to be conducted by you.

Select your assets in alignment with your financial goals. Listen to your intuition about each asset, but remember to invest based on your own values, not just because of recommendations from others.

Don’t know your risk tolerance? Get Kiana Danial’s risk management toolkit for free here.

IDDA POINT 3 – FUNDAMENTAL

🔷 Revenue Keeps Climbing

In Q1 2025, Palantir reported $884 million in revenue—a 39% year-over-year increase. That’s no small feat. Most of this growth came from U.S. commercial customers (up 71%) and government clients still going strong. They’re now projecting $3.89–$3.90 billion in revenue for the full year, which is higher than previous estimates. Investors like growth—and Palantir is delivering it.

🔷 The NATO, Qatar & Pentagon Trifecta
Palantir isn’t just signing deals—they’re locking down global influence. In 2025 alone:

• NATO—the world’s most powerful military alliance—adopted Palantir’s AI-powered Maven Smart System.
• Qatar inked a deal to integrate Palantir’s tech across public and private sectors.
• The U.S. Army extended its data contract and brought Palantir into the TITAN battlefield project.

This isn’t your typical B2B SaaS deal. This is national-security-level software being deployed on a global scale.

🔷 AI Isn’t Just a Buzzword Here

Everyone’s riding the AI wave, but Palantir helped build the wave. Their platforms—Gotham (for governments) and Foundry (for businesses)—are already integrating large language models and machine learning into real-world operations. They’re not talking about AI; they’re deploying it at scale.

🔷 Profitability: Still a Work in Progress

Palantir is profitable, but just barely. Net income for Q1 2025 was $106 million, or $0.13 per share. Solid, but margins are still thin, and stock-based compensation remains high. In other words: they’re making money, but they’re spending a lot to do it. But long-term investors know: category leaders often reinvest aggressively in growth. Palantir is playing the long game, and profitability is improving steadily. This isn’t a red flag—it’s part of the strategy.

🔷 The Industry’s Hot… But Crowded

Palantir operates at the intersection of AI, defense tech, and data infrastructure—three industries with massive growth potential. But they’re also fiercely competitive. From startups to big dogs like Microsoft and Amazon, everyone wants a piece of the AI contract pie.

🔷 Not Competing. Dominating.

Palantir has carved out a niche few can touch. While tech giants like Microsoft or Amazon might dip into defense or data analytics, Palantir’s core business is this space. And trying to do everything means you don’t go deep in anything. Palantir goes deep—and it shows.

Fundamental Risk: Medium

IDDA POINT 4 – SENTIMENTAL

Overall sentiment is bullish for Palantir.

Investors are excited—and for good reason. Palantir has been hitting major milestones, making headlines with global deals, and positioning itself as a backbone of next-gen defense and AI infrastructure. But not everyone’s convinced. Let’s unpack both sides.

Strengths:

✅ Investors love the global credibility: Deals with NATO, Qatar, and the U.S. Army send a clear message—Palantir is trusted at the highest levels of power.

✅ CEO confidence is off the charts: Alex Karp is vocal about Palantir’s mission and doesn’t shy away from bold predictions. His new book, The Technological Republic, frames Palantir not just as a tech company—but a force shaping global strategy.

✅ AI tailwinds: Wall Street is pouring capital into AI. And while many companies are scrambling to join the trend, Palantir has been building in this space for over a decade.

✅ Retail investors are loyal: PLTR has a strong retail following. Many see it as a future tech giant and are holding for the long term, despite past volatility.

✅ Government ties = moat: Deep integration into government systems gives Palantir long-term stability. These contracts aren’t easy to win—or to replace.

Risks:

❌ “Overhyped” accusations: Some analysts say Palantir’s valuation is stretched, given its current profitability and thin margins.

❌ Stock-based compensation: Critics point to high stock-based comp as shareholder dilution and a drag on earnings.

❌ Skepticism about commercial growth: While government deals are strong, some doubt whether Palantir can scale the commercial side at the same pace.

❌ Political risk: With heavy involvement in defense and geopolitics, Palantir isn’t immune to shifts in global policy or public backlash around surveillance and military tech.

Sentimental Risk: Medium

While investor enthusiasm is strong, and the company has a loyal following, valuation debates and ethical questions around its work in defense keep some people cautious. The upside potential is massive—but emotions (and headlines) can swing fast.

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IDDA POINT 5 – TECHNICAL

Daily Chart

🟢 Candles are well above the Ichimoku cloud
🟢 Conversion line (Tenkan) is above the baseline (Kijun)
🟢 Lagging span is above the cloud

🟢 RSI is sitting at 70, right at the edge of being overbought.

🟢All bullish signs, signaling continued upward momentum.

This suggests strong momentum—but also potential for a short-term cooldown or pullback.

Weekly Chart

🟢 Same bullish setup: candles above the cloud, conversion > baseline, lagging span well above. This confirms a longer-term uptrend with strong bullish confirmation.
🟢 Weekly RSI is also around 70, echoing the daily chart—strong buying pressure, but a bit overheated.

Buy Limit (BL) Ideas:

📌 $117.38 – High Risk

📌 $108.98 – Moderate Risk

📌 $100.11 – Low Risk

Here are the Invest Diva ‘Confidence Compass’ questions to ask yourself before buying at each level:

1. If I buy at this price and the price drops by another 50%, how would I feel? Would I panic, or would I buy more to dollar-cost average at lower prices? (hint: this question also reveals your CONFIDENCE in the asset you’re planning to invest in).
   
2. If I don’t buy at this price and the stock suddenly turns around and starts going up again, will I beat myself up for not having bought at this level?
   

Remember: Investing is personal, and what is right for me might not be right for you. Always do your own due diligence. You should ONLY invest based on your own risk tolerance and your timeframe for reaching your portfolio goals

Technical Risk: Medium

The trend is clearly bullish, but with RSI in overbought territory and price at all-time highs, short-term pullbacks are possible. Long-term structure remains solid.

SUMMARY: FINAL THOUGHTS

Palantir isn’t just riding the AI wave—it’s helping build the infrastructure behind it. From securing global defense contracts to expanding in the Middle East and launching AI tools already in action, this company isn’t playing small. It’s playing deep.

🔷Fundamentally, Palantir is strong. Revenue is growing fast, commercial adoption is accelerating, and they’ve carved out a niche few can compete in. Profitability is still modest, but long-term investors aren’t too worried—Palantir is reinvesting in growth, and its category leadership gives it a strong moat.

🔷Sentiment-wise, the market is mostly bullish. Global credibility, a vocal CEO, and heavy interest from retail investors are driving optimism. Still, some analysts are skeptical of its valuation, and Palantir’s involvement in defense and surveillance can stir up public controversy.

🔷Technically, the charts look hot. The stock just broke to new all-time highs with full bullish confirmation on both daily and weekly Ichimoku signals. But RSI is hovering at 70, so a short-term pullback or consolidation wouldn’t be surprising.

Overall Stock Risk: Medium

Volatility is part of the game here, but the upside could be massive.

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If you enjoyed my blog post about Palantir, you’ll love my post on Visa’s Not Just a Payment Company Anymore – Is It the Next Tech Titan? 

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