• In April 2026, Cleveland-Cliffs Inc. announced a three-year partnership to embed Palantir Technologies’ AI platform across its production planning, order entry, and operational workflows, while the U.S. Department of Agriculture signed a US$300 million Blanket Purchase Agreement with Palantir to support the National Farm Security Action Plan and modernize farm-facing services.
• These agreements underscore how Palantir’s software is increasingly woven into critical operational infrastructure across both heavy industry and U.S. government civilian agencies, extending its role beyond defense and intelligence.
• We’ll examine how Palantir’s US$300 million USDA agreement reshapes its investment narrative by broadening government exposure beyond defense contracts.

Explore 26 top quantum computing companies leading the revolution in next-gen technology and shaping the future with breakthroughs in quantum algorithms, superconducting qubits, and cutting-edge research.

Palantir Technologies Investment Narrative Recap

To own Palantir, you need to believe its AI platforms become embedded across mission critical government and industrial workflows, supporting both growth and pricing power. The USDA and Cleveland Cliffs agreements reinforce that thesis by broadening civilian exposure and deepening industrial use of AIP, but they do not change the near term focus on Q1 2026 earnings and valuation risk as the key catalyst and the biggest source of uncertainty right now.

The US$300 million USDA Blanket Purchase Agreement is particularly relevant because it extends Palantir’s role beyond defense into large scale civilian programs, directly touching service delivery and infrastructure. That matters for the current catalyst around government contract momentum, as it highlights how new federal workloads, such as modernizing farm services and security, can diversify revenue concentration in defense while still relying on the same AI software stack.

Yet beneath the contract headlines, investors should be aware of how concentrated Palantir’s revenue remains in U.S. government budgets and what could happen if those priorities shift...

Palantir Technologies' narrative projects $10.8 billion revenue and $3.6 billion earnings by 2028. This requires 40.7% yearly revenue growth and a roughly $2.5 billion earnings increase from $1.1 billion today.

Uncover how Palantir Technologies' forecasts yield a $185.70 fair value, a 29% upside to its current price.

Exploring Other Perspectives

Some of the lowest estimate analysts were already assuming about US$10.0 billion of revenue and US$2.8 billion of earnings by 2028, but Cleveland Cliffs and USDA show how quickly assumptions about contract concentration and pricing power might need to be revisited, which is why you should compare these more pessimistic views with your own expectations.

Explore 122 other fair value estimates on Palantir Technologies - why the stock might be worth over 4x more than the current price!

Form Your Own Verdict

Don't just follow the ticker - dig into the data and build a conviction that's truly your own.

• A great starting point for your Palantir Technologies research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free Palantir Technologies research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Palantir Technologies' overall financial health at a glance.

No Opportunity In Palantir Technologies?

Our top stock finds are flying under the radar-for now. Get in early:

• The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 18 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement.
• Rare earth metals are the new gold rush. Find out which 31 stocks are leading the charge.
• Uncover the next big thing with 24 elite penny stocks that balance risk and reward.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.