Palantir Technologies (PLTR) saw its rating upgraded to Peer Perform by Wolfe Research on Tuesday, even though the stock fell 2% to close at $131.94.
Analyst Rationale
Wolfe Research analysts Alex Zukin and Joshua Tilton reinstated coverage, moving from an Underperform stance to Peer Perform. They praised Palantir’s dominance in applied enterprise AI software while warning that the current valuation remains the most expensive among software peers.
Valuation and Market Metrics
Palantir now trades at a forward price‑to‑earnings multiple of about 77.4×, starkly higher than the S&P 500’s average of 21.07×. The share price has declined 26% in 2026, with a 16% drop in June alone, leaving it 36% below its all‑time high of $207.18 recorded on November 3, 2025.
Broader Market Context
The S&P 500 has risen roughly 10% year‑to‑date, while the Nasdaq Composite has climbed about 14%, highlighting a split between AI‑focused equities and the broader