PLTR 2Q25:Sustained U.S. Government Momentum, Steady Commercial Growth, and New JEDI

PLTR is one of the most expensive software stocks in the U.S. market. From a trading perspective, it is indeed challenging to handle—minor missteps can lead to significant volatility, making it a high-risk name.

That said, I believe Palantir, as one of the more solid GenAI application deployment stories in this cycle, offers substantial learning value. It represents a current paradigm for AI applications, with peers such as Databricks, Snowflake, and OpenAI studying Palantir’s platform + FDE + land-and-expand approach.

This quarter, we spoke with several persons from the Palantir ecosystem, reviewed a sell-side channel check survey, and tracked publicly disclosed government order data. Overall, we believe the company remains on track and has the potential to deliver another quarter of acceleration.

Looking further out, in the government segment, current policy remains broadly favorable for Palantir, though there are potential uncertainties—such as policy shifts, anti-monopoly measures, geopolitical tensions, and rising localism. In the commercial segment, we do see emerging competitive threats, but none appear materially disruptive yet; the real test will be how Palantir and its competitors iterate on products, services, and GTM strategies.

Given the limitations of our research approach, it is admittedly difficult to engage with individuals closer to the company beyond its ecosystem partners. While Palantir has been working to expand commercial channel coverage, with some progress, its business is still predominantly direct sales. These factors could introduce bias into our conclusions. Before diving into Palantir-specific details, let’s first share updates from channel partners on the overall state of AI demand.