Looking At Palantir Technologies (PLTR) and its +74.24% Stock Rise into June

Palantir Technologies (PLTR) has had a pretty great 2025 up +65.33% YTD and +445.2% over the past 1-year:

We like it for its focus on Aerospace and defense. Palantir centers on specialized big data analytics for mission-critical applications in government and commercial sectors. Looking over their statement of operations, there are solid reasons for the stock's success. Over the past 4 quarters, net income reached $571M while its operating cash flow was $1.3B. Palantir's debt at the end of Q1 2025 was $245M and its market cap $310B (as of 6/3/2025).

There are a few catalysts recently we like and new initiatives underway, with additional contracts, that are worth pointing out.

Increased Defense Spending

• Major Contract Expansions: In May 2025, the U.S. Department of Defense expanded Palantir’s Maven Smart System (MSS) contract by $795 million, bringing the total to $1.3 billion through 2029. 

• Integration into Key Defense Initiatives: Palantir’s MSS is now embedded in the Pentagon’s Combined Joint All-Domain Command and Control (CJADC2) initiative, serving as the basis for military operations, enhancing the military’s ability to integrate data across domains for quick decision making.

• International Adoption: NATO has adopted Palantir’s MSS for military planning, as European allies invest in missile defense (Germany invested $1.2 billion in 2025), Palantir’s software could become a standard.  This system significantly reduces manpower needs and indicates the scalability and effectiveness of this platform.

• Strategic Partnerships: Palantir is collaborating with companies like SpaceX and Anduril to build a satellite constellation for missile tracking. This is a core component of the “Golden Dome” missile defense project, which has an estimated $175 billion cost over three years, and has secured bipartisan support. 

How PLTR is using AI for defense

• Maven Smart System: Utilized by U.S. and Nato, MSS uses AI to analyze aerial and satellite data in real time. 

• Artificial Intelligence Platform (AIP): Palantir’s AIP enables defense organizations to use Large Language Models and AI to facilitate decision making processes.

• Tactical Intelligence targeting Access Node (TITAN): Palantir has secured a $178 million contract for TITAN. The army uses this advanced targeting system that integrates AI to process data from various sensors, improving battlefield awareness.

• MetaConstellation: This platform coordinates satellite surveys for real time intelligence. This system uses data from diverse sources and machine learning algorithms to improve target detection and prosecution within minutes

• Skykit: A portable AI toolkit that supports intelligence operations in adverse environments. This toolkit provides capabilities like computer vision and connectivity to satellite networks. 

Overall, we think that Palantir is a solid company with very interesting prospects.