Palantir: This Is Your Chance To Buy (Rating Upgrade)

Bay Area Ideas4.07K FollowersFollow5ShareSavePlay(11min)Comment(1)SummaryPalantir is double-upgraded to a strong buy as valuation contraction creates a rare entry opportunity amid accelerating growth and margin expansion.The company posted a Q4 Rule of 40 score of 127%, with revenue up 70% YoY, billings up 91%, and net dollar retention at 139%, signaling robust demand.Both government and commercial segments are thriving, with commercial revenue up 82% YoY and new high-profile partnerships fueling momentum.2026 guidance implies further acceleration: revenue growth at 61% YoY and U.S. commercial growth at 115%. Margin improvement is also expected to continue. M-A-U/iStock via Getty Images Despite an elevated valuation, I actually upgraded Palantir Technologies Inc. (PLTR) from a sell rating to a hold rating back in December. In that analysis, I found accelerating growth, impressive profitability, and strong guidance. Palantir showed off aThis article was written byBay Area Ideas4.07K FollowersFollowI'm a full-time investor with a strong focus on the tech sector. I graduated with a Bachelor of Commerce Degree with Distinction, major in Finance. I'm also a proud lifetime member of the Beta Gamma Sigma International Business Honor Society. My core values are: Excellence, Integrity, Transparency, & Respect. I always, to the best of my ability, hold true to these values which I believe are key for long-term success. I would like to invite all of my readers to leave their constructive criticism and feedback in the comments section so that I can further enhance the quality of my work moving forward. Thank you and God Bless America!Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.