Palantir Technologies (NASDAQ: PLTR) faces a potential 23% decline in share price, according to an average 12-month price target of $107 from 28 analysts. The current price stands at $139 per share. In contrast, Amazon (NASDAQ: AMZN) is projected to rise by 12% to an average price target of $239.44, with its current share price at $213.
Palantir’s first-quarter results reported a revenue increase of 39% to $884 million, along with a 62% rise in non-GAAP net income, raising full-year revenue guidance by 36%. However, its current price-to-sales ratio of 110 is significantly higher than its closest competitor at 35. Amazon’s revenue rose 9% to $155 billion in the same quarter, with GAAP earnings up 62% to $1.59 per diluted share, although management projected a cautious second-quarter operating income between $13 billion and $17.5 billion.
Wall Street anticipates Amazon’s earnings will grow at an annualized rate of 10% through 2026, with the company positioned strongly in e-commerce, digital advertising, and cloud computing markets, collectively projected to grow at rates of 11%, 15%, and 20% respectively through 2030.
