Palantir Technologies Inc. PLTR is positioned to become “the next” Oracle Corp ORCL in 2025, according to Wedbush Securities Managing Director Dan Ives, who named it the most underappreciated tech stock in his annual sector outlook on Wednesday.
What Happened: In his “Top 10 Christmas Wish List for the Tech Sector in 2025” published on X, Ives highlighted Palantir’s artificial intelligence platform (AIP) as a transformative force in enterprise operations. The prediction comes as Palantir continues to expand its presence in both government and commercial sectors.
The company recently demonstrated its AI capabilities through its Warp Speed manufacturing operating system, which has already shown significant results. Anduril Industries, an early adopter, reported a 200-fold improvement in managing supply shortages using the platform.
“We believe 2025 will be another breakout year as its flagship AIP product transforms AI use cases within enterprises,” Ives wrote, dubbing Palantir the “Messi of AI.”
See Also: Nasdaq Surges Past 20,000 For First Time, Driven By Tech Gains And Rate Cut Hopes
Why It Matters: The company’s momentum is evidenced by recent developments, including a $36.8 million expanded contract with U.S. Special Operations Command and achieving FedRAMP High Authorization for its Federal Cloud Service.
Ives’s broader tech sector outlook predicts AI capital expenditure exceeding $1 trillion in 2025, with the industry potentially seeing a 25% overall growth. He anticipates reduced antitrust pressures following expected leadership changes at the Federal Trade Commission, potentially catalyzing a 50% increase in tech merger and acquisition activity.
Other notable predictions include Apple Inc. AAPL, NVIDIA Corp. NVDA, and Microsoft Corp. MSFT reaching $4 trillion market capitalizations, and Tesla Inc. TSLA potentially hitting $2 trillion in market value by the end of 2025.
Price Action: Palantir’s stock currently trades at $72.51, having risen significantly from its 52-week low of $15.66, according to data from Benzinga Pro.
Palantir Technologies Inc. has a consensus price target of $30.22 from 18 analysts. The highest target is $75, and the lowest is $7.50. Recent ratings from BofA Securities, Wedbush, and Goldman Sachs give an average target of $63.67, implying an 11.95% downside.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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