Palantir price target raised to $30 from $25 at Wedbush

Wedbush raised the firm’s price target on Palantir to $30 from $25 and keeps an Outperform rating on the shares, reflecting the “off the charts commercial success” the company is finding with AIP out of the gates. The firm says Palantir just “went from an off Broadway play to a primetime Broadway theater right off of Times Square under the bright lights.” U.S. commercial business grew an “eye popping” 70% in Q4 and commercial customer count grew 44% as the AI Revolution is driving AIP deal flow to a level Wedbush did not expect until 2025. As the commercial business ramps at this massive pace, free cash flow could approach $1B in 2024 with this margin/cash flow story just beginning, the firm says. Wedbush also believes inclusion to the S&P 500 is on the near-term horizon given this pace of profitability. Overall, the firm thinks Palantir remains an “undiscovered gem.”