PLTRWhile broader markets struggled last week amid rising geopolitical tensions, Palantir Technologies (NASDAQ:PLTR) stood out as one of the rare winners.
The data analytics and defense software company jumped nearly 15% for the week, marking its best weekly performance since August. The rally came even as the U.S. stock market broadly declined following the U.S.Israel strikes on Iran and the growing risk of a prolonged conflict.
Investors appear to be betting that heightened geopolitical tensions could translate into more government demand for Palantir’s software platforms, which are widely used by defense and intelligence agencies. Federal contracts already account for more than half of Palantir’s total revenue.
According to Rosenblatt analysts, the expanding conflict in the Middle East could strengthen Palantir’s government contract pipeline, potentially leading to additional deals similar to its $10 billion U.S. Army contract.
Meanwhile, the market seems largely unfazed by the government’s blacklisting of AI startup Anthropic (ANTHRO), whose Claude models have been used within Palantir’s Maven Smart Systems.
