Palantir Technologies (PLTR) is back in the spotlight. This time, not because of earnings or new government contracts, but due to growing political scrutiny. U.S. Vice President J.D. Vance’s ties to the company, along with its long-standing association with co-founder Peter Thiel, have sparked concern among members within President Donald Trump’s circle. With growing political scrutiny, investors are now wondering whether PLTR remains a safe investment.
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J.D. Vance’s Link to Palantir Draws Attention
Recently, CNN reported that the controversy erupted after Vance discussed Palantir during a conversation with Republican strategist Roger Stone. The backlash grew when Stone warned on a radio show that Palantir’s data tools “could become a vast surveillance system.”
Vance has long been viewed as aligned with Palantir due to his personal and financial ties to Thiel, one of his key political backers. Now, rising concerns within the Trump administration about Palantir’s expanding role in government data and decision systems are turning those connections into a political liability.
Overall, the core concern is that Palantir’s technology relies on AI, facial recognition, and predictive analytics to process massive amounts of data. Suspicion grew after Trump signed an executive order yesterday for an AI project called ‘Genesis Mission,’ which required government agencies to share data. Critics argue that this move could ultimately benefit Palantir. As a result, both Democrats and conservatives are expressing unease, warning that this could lead to expanded government surveillance and reduced privacy.
What This Means for PLTR Investors
PLTR stock has jumped since Trump’s election, boosted by expectations of increased government spending on defense and space programs, along with momentum from the broader AI boom.
Notably, Palantir’s core AI platform, Gotham, is heavily used by the U.S. government and its allies for mission planning and military operations and currently lacks a true alternative. However, the growing political tension surrounding the company could influence future government decisions and partnerships.
For investors, the growing political scrutiny could create short-term uncertainty around PLTR stock. While the company continues to secure major government contracts, negative headlines and controversy around surveillance and political influence may introduce volatility.
Palantir’s Growth Story Is Impossible to Overlook
Despite the concerns, Palantir’s growth trajectory remains strong.
In Q3, total revenue climbed 63% year over year, fueled by a 121% surge in U.S. commercial sales and a 52% increase in U.S. government revenue. Looking ahead, the company raised its 2025 revenue guidance to $4.396–$4.40 billion — well above the $4.16 billion analysts were expecting.
These strong projections reinforce Palantir’s accelerating momentum and support a continued bullish outlook for PLTR stock.
Is PLTR Good Stock to Buy?
According to TipRanks consensus, PLTR stock has a Hold rating, based on three Buys, 11 Holds, and two Sells assigned in the last three months. The average Palantir share price target is $187.87, which implies an upside of 16% from current levels.
