Palantir (PLTR) was in focus on Wednesday as HSBC raised its price target on the enterprise software giant after it posted quarterly results earlier this week.
“We expect US commercial segment’s revenue to rise at a CAGR of 59.3% over 2025-29 to USD9.3B in 2029,” analyst Stephen Bersey wrote in a note to clients. “The company’s US commercial segment surged 122% y-o-y to USD397m in 3Q25 (2Q25: 92.5%). More importantly, total contract value of new contracts signed stood at USD1,310m in 3Q25 (2Q25: USD843m), suggesting significant further upside to the revenue run rate. We would, however, flag that we are seeing several anecdotes and reports suggesting that the ROIC on internal AI projects that enterprises are experimenting with (not specific to Palantir) is often disappointing. This may slow the tempo of future contract signings, in our opinion.”
Bersey kept his Hold rating on Palantir and bumped his price target to $197 from $181 after the results.
