Palantir Technologies: A New Entrant in the Top 20 Most Valuable U.S. Companies
Data analytics behemoth, Palantir Technologies, has carved a significant milestone for itself. It has now joined the prestigious league of America’s 20 most valuable companies. This achievement comes on the heels of its stock skyrocketing by over 100% in 2025. On Friday, the company’s market capitalization touched a staggering $375 billion. This leapfrogged it past well-established brands such as Home Depot, Procter & Gamble, Bank of America, and Coca-Cola.
The phenomenal rise can be attributed to the explosive growth in Palantir’s artificial intelligence business and its ever-expanding government contracts. The company’s revenue from U.S. government contracts saw a 45% surge to $373 million in its most recent quarter. Meanwhile, total sales witnessed a 39% increase to $884 million. Palantir, founded in 2003 by Peter Thiel and CEO Alex Karp, has grown increasingly valuable in a world where organizations are in constant pursuit of AI-powered data analytics solutions.
However, it’s worth noting that investors are shelling out a premium for this growth narrative. Palantir currently trades at a whopping 273 times forward earnings. This is the highest multiple among the top 20 companies, with the exception of Tesla, which trades at 175 times. Despite raking in just $3.1 billion in annual revenue, Palantir remains significantly smaller in terms of sales compared to other top-20 companies. This underscores the market’s gamble on its AI-driven future potential.
Source: NBC News