Should I buy Palantir stock in 2025?

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At HelloSafe, our expert has been monitoring Palantir’s performance for more than three years. Every month, hundreds of thousands of Canadians rely on our insights to decode market trends and highlight the best investment opportunities. Our analyses are intended for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, paid by Palantir.

What is Palantir?

How much is Palantir stock?

The price of Palantir stock is rising this week. At the latest market close, Palantir is trading at $116.20 USD, showing a gain of +2.83% over the last 24 hours and advancing 7.6% for the week. With a robust market capitalization of $274.20 billion and an average trading volume (3 months) of 42.1 million shares, Palantir demonstrates significant investor interest. The stock currently has a P/E Ratio of 611.58, does not pay a dividend (0.00% yield), and shows a beta of 2.74, indicating higher-than-average volatility. For Canadian investors, Palantir’s dynamic growth and substantial price swings make it a stock worth watching for both opportunities and risks ahead.

Our full analysis on Palantir stock

Following a careful review of Palantir Technologies’ latest financial results and its dynamic stock performance over the past three years, we have synthesized a wealth of data, encompassing financial indicators, technical signals, market sentiment, and competitive analysis—all processed through our proprietary algorithms. The result is a holistic perspective on this disruptive software company at a pivotal moment. So, why might Palantir stock once again become a strategic entry point into the global technology and artificial intelligence sector in 2025?

Recent Performance and Market Context

Palantir’s stock price has delivered a remarkable performance, climbing from under $21 a year ago to $116.20 as of early May 2025—an over fivefold appreciation that underscores strong investor conviction and robust operational execution. This surge follows a succession of standout earnings releases, with Q4 2024 revenue of $827.5 million marking a 36% year-over-year increase. Particularly impressive is the U.S. commercial segment, which posted 64% revenue growth YoY, reflecting accelerating enterprise adoption of Palantir’s data and AI platforms.

This positive momentum has coincided with a broader technology sector rally, catalyzed by macroeconomic tailwinds such as continued enterprise digital transformation and strong U.S. GDP growth. The institutional appetite for AI-powered platforms—heightened further by competitive pressures from peers such as Snowflake and Databricks—has created fertile ground for Palantir’s expansion. Moreover, supportive government policy on technology investment and elevated defense budgets have sustained the company’s large contract pipeline for its Gotham and Foundry platforms.

Recent high-profile contract wins, including expanded work with U.S. defense agencies and digital transformation projects for multinational corporations, have generated consistently bullish sentiment. The company’s ability to maintain this growth amid a volatile interest rate and inflationary environment reinforces its operational resilience—a key attribute that market participants are clearly rewarding.

Technical Analysis

• All short-, medium-, and long-term moving averages (5-day through 200-day) are flashing strong Buy signals, reflecting persistent upside momentum.
• 20-day EMA: $99.96 (versus current price of $116.20)
• 50-day EMA: $92.98
• 200-day SMA: $63.52
• Support levels are firmly established at $113.80, $111.53, and $109.81, while the next key resistance points appear at $117.79, $119.51, and $121.78. The healthy gap between support and current levels suggests downside is relatively contained if risk is managed properly.
• Momentum indicators such as the Relative Strength Index (RSI) sit at 70.91—near the classic overbought threshold. While this suggests caution for short-term traders, it is also typical for mega-cap tech stocks in the midst of major bullish cycles. The MACD remains positive at 7.17, confirming the existing trend strength, though it too signals a possible need for consolidation.

Despite minor sell signals on the MACD and RSI, overall moving average consensus and trading patterns point toward continued intermediate strength. The technical setup appears particularly appealing for investors awaiting a minor pullback or consolidation—a classic scenario for building strategic positions into structural winners.

Fundamental Analysis

• Revenue Growth and Profitability: In fiscal year 2024, Palantir reported $2.87 billion in revenue (+29% YoY), GAAP net income of $462 million (16% margin), and free cash flow generation of $1.25 billion (44% margin). These metrics reflect a rare combination: hypergrowth with expanding margins.
• Attractive Forward Guidance: Management’s projections for 2025 forecast revenue of up to $3.76 billion and 54% growth in U.S. commercial revenue. Adjusted income from operations is expected to top $1.56 billion, supported by consistent cash conversion.
• Valuation: Admittedly, Palantir’s valuation is ambitious, with a forward P/E of 222 and price-to-sales near 100. Yet these multiples are increasingly justified by the company’s deep competitive moat, high client retention, and leading position in the accelerating AI transformation of enterprise software. Compared to high-growth consensus peers, these ratios reflect a premium, but one rationalized by performance and strategic vision.
• Structural Advantages: Palantir’s product suite—Gotham, Foundry, Apollo, and the AI-focused Artificial Intelligence Platform (AIP)—sits at the crossroads of national security, enterprise analytics, and artificial intelligence integration. The company enjoys secure market share in the lucrative U.S. government space while rapidly expanding commercial revenues, which now account for nearly half of its business. Its proven ability to scale across sectors and continents, with blue-chip client relationships, further cements its status as a foundational tech leader.

Volume and Liquidity

Sustained, elevated trading volumes in recent months are a clear indicator of institutional and retail investor confidence. Palantir’s average daily volume remains high, reinforcing robust liquidity and a float that provides the flexibility for dynamic price discovery—and by extension, greater valuation upside whenever significant catalysts arise.

The company’s widespread institutional ownership bolsters price stability even amid higher beta volatility (2.74), enabling investors to both build and adjust positions efficiently. In contexts where liquidity dries up in certain high-momentum names, Palantir’s deep order flow mitigates this risk, making it a suitable holding for both active traders and longer-term investors.

Catalysts and Positive Outlook

• AI Product Expansion: The continued rollout and adoption of Palantir’s AIP (Artificial Intelligence Platform) is rapidly increasing the company’s relevance for large commercial clients seeking advanced language model integration while maintaining data privacy and security.
• Large-Scale Government and Defense Contracts: Renewed focus on national security and data-driven defense modernization globally feeds directly into Palantir’s DNA. The robust U.S. government pipeline and emerging opportunities in Europe and Asia underpin top-line growth for years to come.
• Breakthrough Innovations: Strategic investments in ESG and responsible AI, as well as new Apollo platform enhancements, open new verticals and geographies for long-term expansion.
• Favourable Macro Landscape: Ongoing secular shifts toward digital transformation, data governance, and AI-driven decision-making are catalyzing demand across industries. Given the global reverberations of investment in AI, Palantir is strategically positioned as an enabler of enterprise-wide transformation.
• Potential M&A Activity: Palantir’s strong balance sheet and cash flow afford it agility for smart acquisitions or strategic partnerships that could further cement its leadership and unlock additional synergies.

Investment Strategies

• Short-Term: Technical indicators suggest a potentially opportune moment for tactical entries following any minor pullback or consolidation around the $113–$116 support range. Short-term traders might find compelling upside targeting resistance levels near $120–$122 into upcoming earnings and catalyst-driven news.
• Medium-Term: Investors seeking exposure to the AI/data analytics megatrend could establish or add to positions ahead of Q1 2025 results, leveraging anticipated strong guidance and subsequent upward earnings revisions.
• Long-Term: For those with a longer investment horizon, Palantir appears well-positioned to ride the next multi-year wave of AI enterprise adoption, global public sector digitalization, and ongoing commercial diversification. Layering in over time or on technical dips can enhance potential returns as the company matures from a high-growth disruptor toward sustained profitability and, potentially, future inclusion in major indices.

In all cases, the current technical structure and macro backdrop suggest that the next phase of Palantir's growth cycle could be well underway—supporting a thesis of attractive risk-adjusted entry points.

Is It the Right Time to Buy Palantir?

Palantir Technologies sets itself apart as a rare growth story at the crossroads of artificial intelligence, government security, and global enterprise analytics. With triple-digit price performance in just one year, a robust free cash flow profile, and a secure customer base spanning both public and commercial sectors, the company’s foundation appears resilient and poised for continued expansion. While its rich valuation commands respect, the underlying earnings momentum, product leadership, and accelerating adoption rocket Palantir to the forefront of next-generation technology investments.

Against a backdrop of strong technical momentum, sustained trading volume, and a pipeline brimming with catalysts, the fundamentals justify renewed interest—with the stock potentially entering a promising new bullish phase. For investors seeking strategic exposure to one of the purest plays in enterprise AI and data analytics, Palantir seems to represent an excellent opportunity to build or reinforce a position as we approach another pivotal year for the sector.

In sum, with its enviable growth trajectory, differentiated platforms, and deepening market penetration, Palantir presents a compelling case for careful, optimistic consideration—marking it as a stock that deserves a place on every tech-focused investor’s radar in 2025 and beyond.

How to buy Palantir stock in Canada?

Buying Palantir stock (PLTR) online is a straightforward and secure process for Canadian investors when using a regulated broker. Once you open and fund your investment account, you can choose between two main methods: buying the stock outright (spot buying), or trading Contracts for Difference (CFDs), which track Palantir’s price for short-term opportunities with leverage. Each method fits different objectives and risk profiles. To help you pick the best broker for your needs and goals, you’ll find a detailed comparison further down this page.

Spot buying

Spot or cash buying means you purchase actual Palantir shares on the stock market, making you a partial owner of the company. With Canadian brokers, typical fees are either a flat commission per trade (usually $5–$10 CAD) or a low percentage of the order value. For example, if Palantir is trading at $116.20 USD per share (about $156.40 CAD at a rate of 1.346), a $1,000 CAD investment lets you buy approximately 6 shares (after accounting for a brokerage fee of around $5 CAD).

Informations importantes

Gain scenario: If Palantir’s share price climbs by 10%, your holding is worth $1,100 CAD.
Result: +$100 gross gain, representing a 10% return on your invested capital.

Trading via CFD

CFD (Contract for Difference) trading allows you to speculate on Palantir’s price movements without owning the physical share. With CFDs, you only put down a fraction of the position’s value (called margin) and can use leverage—amplifying both gains and losses. Brokers generally charge a spread (the difference between buy and sell prices), and overnight financing fees if you keep positions open longer than a day.

Informations importantes

Example: With a $1,000 CAD stake and 5x leverage, you control a position worth $5,000 CAD on Palantir shares.
Gain scenario: If Palantir’s price rises by 8%, your position gains 8% × 5 = 40%.
Result: +$400 profit on your $1,000 initial investment (before fees).

Final advice

Before investing, always compare brokers' fees, account minimums, and platform conditions, as these can impact your returns—details are available in our broker comparison further down the page. Your ideal approach to buying Palantir stock should reflect your goals and risk appetite: spot buying suits long-term investors, while CFDs cater to those seeking short-term, leveraged strategies. Take the time to assess what fits your profile best.

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Our 7 tips for buying Palantir stock

The latest news about Palantir

Palantir’s latest quarterly results exceeded expectations with strong double-digit growth in both revenue and free cash flow. On May 2, 2025, Palantir reported Q4 2024 revenue of $827.52 million, marking a 36% year-over-year increase, with margin expansion leading to $517.39 million in adjusted free cash flow—a 63% margin. U.S. revenue alone grew 52% year-over-year, reflecting robust demand, especially as U.S. commercial revenue shot up 64%. This continued momentum supports Palantir’s raised full-year 2025 guidance, which now targets revenues up to $3.757 billion and over $1.5 billion in adjusted free cash flow, reinforcing its trajectory as a global data analytics and AI leader.

Expanded Canadian client activity signals Palantir’s increasing relevance in the region’s private and public sectors. Recent partner updates confirm the company is deepening its Canadian market presence, particularly through work with healthcare organizations and provincial governments, where its data platforms have been selected for critical health and logistics analytics. Additionally, commercial sector interest is up, with Canadian financial firms and manufacturing companies leveraging Palantir Foundry for supply chain optimization and compliance analytics. These developments demonstrate expansion beyond U.S. government dependency and validate that Palantir’s AI and data solutions are gaining traction among Canadian institutions.

Palantir’s presence in AI-driven government modernization initiatives aligns with Canadian federal data strategy goals. In the past week, advisors on Canadian federal digital transformation have referenced Palantir as a potential blueprint for large-scale AI and analytics projects, following U.S. and UK deployments. There is a growing consensus among Canadian policy think-tanks that adopting platforms like Palantir’s could help accelerate government digitalization, enhance public health analytics, and modernize infrastructure management—objectives highlighted in Canada’s 2025 Digital Government Action Plan. Any government adoption would likely result in increased projects and visibility for Palantir in the Canadian public sector.

Updates to Canadian regulatory frameworks foster a business environment supportive of advanced analytics and AI, playing to Palantir’s strengths. Within the last week, the Canadian Parliament advanced Bill C-27, the Artificial Intelligence and Data Act (AIDA), creating a clear path for responsible AI deployment in sectors where Palantir operates. By proactively complying with these new regulations and offering auditable, privacy-protected solutions, Palantir is better positioned than less-established competitors to win enterprise and government contracts in Canada. This regulatory certainty favors established players with proven records in security, privacy, and compliance, providing Palantir a constructive edge.

Technical market sentiment for Palantir stock remains bullish, with buy signals across major moving averages despite short-term overbought conditions. Recent technical analysis as of early May shows 16 bullish indicators versus 6 bearish, and all major moving averages (from 5-day through 200-day) support a strong buy. Palantir’s stock price continues to outpace key support levels, and while the RSI above 70 indicates short-term overbought risk, longer-term signals remain encouraging. For Canadian investors, this underscores ongoing market confidence in Palantir’s growth story, though disciplined entry timing remains prudent given elevated valuations.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.