The AI boom has brought fortune to the civil sector stocks, completely changing the playing field for defense stocks. Founded in 2003 the big data analytics software company offers AI powered data analysis platforms to civilian, corporate and military customers. With the rise of AI models and data analysis the company has seen rapid growth. The expansion of Palantir in various sectors with its robust AI platforms has brought them all time high share price and market cap.
On Friday of 6th December Palantir Technologies Inc. had a closing price of $76.34 per share. The stock gained 4.47 points per share with a 6.22% increase in value in a single day. Just within a year their stock went from $17.5 per share to $77.50 resulting in an astonishing 344.61% increase. The company reached a market cap of 173.9 B as investors see potential in the company’s growth.
Their success in the stock market has seen them surpassing the market cap of the top defence stock RTX. RTX is the parent company of Raytheon famous for their Tomahawk missile system, Pratt & Whitney and Collins Aerospace famous for making jet engines. RTX has seen 45.09% growth in a single year though their stock has been losing value for the last 3 months. Their last closing price was $117.99 with a market cap of $157.05 B.
Palantir has surpassed other defence industry giants such as Boeing whose stocks have suffered severely with the recent safety controversies. They lost 40.95% of their value in a single year and they had a market cap of only $115.07 B which is more than Lockheed Martin’s $121.6 B and Northrop Grumman’s $69 B market cap.
The growth of Palantir lies within its AI development. They won a contract for a Pentagon program. They are to produce next gen targeting nodes for the Army’s Titan contract. They have also developed operating systems for autonomous drones. Codename “Warp Speed” operating system is going to be used by Shield AI for its autonomous drones.