Analysts update Palantir stock price target for 2026

Core Viewpoint - Citi upgraded Palantir (NASDAQ: PLTR) stock to 'Buy' with a 2026 price target increase from $210 to $235, indicating a 31.26% upside potential, reflecting a growing bullish sentiment on Wall Street towards the company [1][2] Group 1: Financial Projections - Citi analyst Tyler Radke predicts Palantir could see revenue growth of up to 80% by the end of the year, driven by positive estimate revisions and accelerating AI budgets in enterprises [1][2] - The upgrade is based on expectations of significant growth in 2026, supported by increasing defense budgets that may benefit contractors like Palantir [2] Group 2: Market Context - The U.S. has engaged in military actions or threats against several countries, contributing to a climate of global instability that may favor defense contractors [3] - President Trump has proposed increasing the military budget to $1.5 trillion, a 66.67% increase over the last approved budget, which could positively impact defense contractors [4] Group 3: European Market Potential - There is optimism regarding Palantir's growth in Europe, particularly as the continent prepares for potential geopolitical shifts and increased military engagement [5] - Palantir's CEO has indicated that the company has significant involvement with European countries, which may not be fully acknowledged by their leaders [5] Group 4: Stock Performance - Over the past 12 months, Palantir stock has shown a stable upward trend, with a remarkable 175% increase, trading at $179.03 as of January 12, 2026 [7][8]