What's Going On With Palantir Stock?

Palantir Technologies, Inc. PLTR shares are trading higher Wednesday and trending on social media. Here's a look at what to know.

What To Know:

Palantir topped Stocktwits' list of trending tickers Wednesday following an appearance by CEO Alex Karp on CNBC. Karp discussed the company's latest $178 million contract with the U.S. Army to develop TITAN ground systems which employ artificial intelligence and machine learning to enhance deep-sensing capabilities.   

Karp also spoke about Palantir's AIP Bootcamp, designed to have the company's Artificial Intelligence Platform (AIP) users up and running in a matter of hours. The AIP Bootcamps were also highlighted at Palantir's AIPCon last week. 

Last Friday, Dan Ives of Wedbush Securities raised the price target on Palantir from $30 to $35.

"With a strong product portfolio coupled with AI, we expect PLTR to garner a meaningful share of what we believe to be a $1 trillion AI Global TAM as enterprise and government ecosystems rush to implement useful platforms for automating complex workflows," the analyst note read. 

Related News: What’s Going On With ‘Bitcoin Developer’ MicroStrategy Stock?

PLTR Stock Forecast in 2030:

Predicting the future in stock prices over long periods of time is challenging. Wall Street analysts use complex models that take into account interest rates, economic growth, competitive advantages, management teams and historical profitability, among a host of other factors.

If, as an investor, you want to assume most of the major factors remain stable, you can use trend analysis as a helpful tool. Using a longer term trend line or historical performance of the stock, you can aim to forecast a stock's annual rate of return.

For Palantir Technologies, over the past 5 years, it's annualized stock performance is 21.06%, and if you assume that trend continues for another 5 years, you can expect a stock to trade at $65.42.

Using a trend line (see how to perform this function here), If you choose to use a trend line, connect your two points and look into the future to the point in time in which you're curious. Once you've identified that stock price, you may want to consider what type of conditions would need to exist for the stock to justify the share price – be it an outside influence or managerial decision making.

PLTR Price Action: According to Benzinga Pro, Palantir Technologies shares are up 1.98% at $25.19 at the time of publication.

Image: Pete Linforth from Pixabay