Palantir Stock Forecast 2025: $4 Billion Growth In Revenue

But there are risks involved when it comes to the Big Data industry, predominantly around the ethical use of data. Misuse of that data can harm shareholders and the general public.

Take the Cambridge Analytica scandal, for example. In the 2010s, millions of Facebook users' personal data was collected without their consent by Cambridge Analytica through an app it developed called "This Is Your Digital Life" to be used for political advertising. When the news broke, shares of Facebook dropped nearly 20% and struggled to regain ground in the aftermath. With Palantir dealing with government agencies that aren't popular in the public eye, bad news could harm share price.

Despite that risk, Palantir continues to improve on its platform with projects like Gotham, a commercially available counter-terrorism analysts system driven by artificial intelligence. This further opens its market opportunity beyond those potentially controversial government agencies.

And Palantir Foundry, the company's commercial data management platform, serves as a hedge to this risk.

Foundry's commercial revenue was up 90% year over year, thanks to the closing of 62 new deals - each worth $1 million or more. Since commercial activities have no ties to the company's government operations, Foundry does nothing but benefit the company's overall value.

So, should you buy shares of PLTR stock?

PLTR Stock: Buy or Pass?

The answer might not be so simple.

The company estimates that its total addressable market (TAM) - or the total amount of money Palantir can make selling what they're selling - is roughly $119 billion. In a market expected to reach more than $229.4 billion by 2025, that's a nice chunk of change. And as AI continues to evolve, that total is going to grow at a rapid pace.

Because of this estimate, some analysts project that Palantir's revenue will reach $9 billion by 2026. And it's well on its way there. The company expects annual revenue growth of 30% or more for 2021 through 2025. At that rate, Palantir will hit that mark of $4 billion in revenue by 2025 - and then some.

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Disclaimer: Any performance results described herein are not based on actual trading of securities but are instead based on a hypothetical trading account which entered and exited the suggested ...

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William K. 2 months ago Member's comment

A whole lot of interesting information and a lot of analysis as well. Very good