Shares of Palantir Technologies (PLTR) have come under pressure recently after well-known investor Michael Burry sparked fresh concerns about rising competition from Anthropic. As a result, PLTR stock is down nearly 9% over the past five days. However, analysts remain broadly bullish on the stock. Citi’s Street-high price target of $260 implies more than 100% upside from current levels. On average, analysts still see over 50% upside potential in PLTR stock.
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For context, the decline followed Anthropic’s launch of new AI tools, including its “Mythos” model, which showed strong performance in coding tasks and raised worries about competition for Palantir. Meanwhile, Burry said Anthropic is quickly gaining ground, calling it a threat to Palantir’s business. He also argued that Anthropic’s tools are simpler, cheaper, and easier for companies to adopt compared to Palantir’s more complex systems.
What Lies Ahead for Palantir
Palantir stock has fallen about 28% so far this year, mainly due to a wider sell-off in software stocks and concerns about its high valuation. Looking ahead, the company is still guiding strong growth. It expects Q1 2026 revenue of $1.53–$1.54 billion and full-year 2026 revenue of $7.18–$7.2 billion, both above Wall Street estimates.
Notably, Palantir’s AI platform (AIP) continues to gain traction with large enterprises and the U.S. government. In Q4 2025, U.S. revenue crossed $1 billion for the first time, with commercial sales jumping 137% and government revenue rising 66%. On the other hand, risks remain. The stock is still trading at a rich valuation, with a forward P/E of about 124 versus the sector average of around 30. If government spending slows or commercial growth weakens, the stock could pull back.
Overall, strong recent results and upbeat guidance continue to support the long-term AI growth story. Palantir is also being viewed as one of the few companies showing real-world AI profitability, helping it stand out from many of its tech peers.
PLTR’s Bull Case of $260
Citi analyst Tyler Radke has set a Street-high price target of $260 on PLTR stock. Radke believes the company’s growth momentum “increasingly stands out” in a software market where such growth stories are rare.
Following Palantir’s Q4 results in February, Radke said the upgrades represent some of the “strongest at scale” he has seen in enterprise software. He also raised his FY26 growth forecast by 10 percentage points, to about 61% year-over-year.
Is Palantir Stock a Buy?
Turning to Wall Street, PLTR stock has a Moderate Buy consensus rating based on 14 Buys, five Holds, and two Sells assigned in the last three months. At $194.61, the average Palantir stock price target implies an upside of 52%.
