Will Palantir Shares Find Themselves in a Decade?

Predicting the Future Position of Palantir Stock Over the Next Decade

Palantir Technologies, the leading AI software platform provider, has been making waves in the tech industry since its direct listing in September 2020. The company's impressive growth trajectory suggests that it is well-positioned to achieve a Compound Annual Growth Rate (CAGR) of over 26% going forward.

In the past two years, Palantir's growth has accelerated, particularly with the launch of its AI solutions for commercial customers. This growth has been reflected in the company's financials, with Palantir generating over $1 billion in revenue in a single quarter by the second quarter of 2025. In 2020, the company reported annual revenue of $1.1 billion.

Palantir's ambitions are not limited to revenue growth. The company aims to increase its revenue tenfold and reduce costs by 12% within its multi-year strategic plan period, typically around the mid-2020s. If successful, Palantir would generate over $41 billion in revenue in the long run.

The AI software platforms market, of which Palantir is a significant player, is expected to generate $153 billion in revenue by 2028. Palantir ranks as the No. 1 vendor in this market, a testament to its leading position.

The growth in Palantir's operating margin, which increased by eight percentage points in the first half of 2025, can be attributed to the rapid increase in the company's customer base and an increase in spending by existing customers.

Analysts are expecting a 58% spike in Palantir's earnings in 2025 to $0.65 per share. The company's aim to increase revenue by 10x while reducing headcount by 12% remains in place.

Investors who bought $100 worth of Palantir when it went public and held onto their shares would have seen their investment grow to $1,660 by now. If Palantir needs to increase its revenue to $41 billion in 2035 to meet its long-term goals, it will have to clock a CAGR of almost 26%.

In the quarter ending, Palantir signed $2.27 billion worth of new contracts, a 140% increase from the year-ago period. With its strong position in the AI software platforms market and ambitious growth plans, Palantir Technologies continues to be a company to watch in the tech industry.