Is Palantir Technologies Inc. (PLTR) A Good Stock To Buy Now?

Is PLTR a good stock to buy? We came across a bullish thesis on Palantir Technologies Inc. on Nikhs’s Substack. In this article, we will summarize the bulls’ thesis on PLTR. Palantir Technologies Inc.'s share was trading at $136.88 as of May 25th. PLTR’s trailing and forward P/E were 153.80 and 93.46 respectively according to Yahoo Finance. Sprout Social (SPT) Beats Q4 Expectations but Weak Guidance and Slowing Growth Weigh on Outlook Palantir Technologies Inc. builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations in the United States and internationally. PLTR reported a Q1 2026 that reinforced a rapidly strengthening bullish thesis, as results suggested that its Ontology is evolving from a coordination layer across fragmented enterprise systems into the core operating architecture of institutional work. The company delivered revenue growth of 85%, with U.S. revenue accelerating 104%, while adjusted operating margins reached 60% and net dollar retention surged to 150%, underscoring accelerating usage intensity. Read More: 15 AI Stocks That Are Quietly Making Investors Rich Read More: Undervalued AI Stock Poised For Massive Gains: 10000% Upside Potential Management also raised FY26 guidance to 71% growth, signaling that demand is not only intact but compounding at infrastructure-like levels rather than typical software cycles. The core investment argument is that Palantir’s Ontology, which maps objects, relationships, permissions, workflows, and actions across enterprises, becomes increasingly valuable as AI agents proliferate, since falling inference costs expand agent activity and simultaneously increase governance and coordination requirements. This dynamic, described as a Jevons-like effect, is driving exponential growth in governed machine-to-machine workflows, positioning Palantir as the essential control layer for enterprise AI rather than just another application vendor. Evidence of this shift was visible in deployment depth, including 97% employee usage at customer implementations and internal adoption cases where entire legacy systems were replaced by AIP-based workflows, effectively eliminating the need for traditional software layers. Importantly, profitability quality also strengthened, with GAAP EPS exceeding adjusted EPS for the first time, GAAP net income reaching $871 million at a 53% margin, and declining stock-based compensation improving earnings durability. The investment debate is increasingly centered on whether Palantir can sustain its acceleration beyond $10 billion revenue scale, with historical precedents suggesting that companies maintaining 40%+ CAGR at that size are extremely rare.