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Feb 4 - Palantir Technologies Inc. (PLTR, Financial) is firmly on the high growth track of confidence, which would result in this activity of Cantor Fitzgerald, which raised its price target to $98.00 from $72.00. Though the firm raised its projection, it kept a Neutral rating as Palantir.
According to analysts, the surge is mainly driven by a continued rise in both the commercial and government sectors within the U.S., and the company's ARK analysts credit the Artificial Intelligence Platform (AIP) and Ontology initiatives for encouraging adoption. We have found that AIP is able to create low code capabilities in developing AI applications for the enterprise and hence drive the demand.
This also highlights Palantir's operational strength as it's finished reporting gross profit of 81.1% and 24.52% year-on-year revenue growth. AI investment is now booming across all industries, and investors will continue to focus on the company's strategic position. However, at current levels, Cantor Fitzgerald has a neutral stance, which indicates some concerns about valuation risks.
Palantir is still expanding its market footprint with its solutions driven with the help of AI, and investor sentiment remains divided between taking a positive outlook on its growth potential and skepticism on the company's soaring stock price.
This article first appeared on GuruFocus.