Palantir Technologies PLTR continues to demonstrate the growing impact of its Artificial Intelligence Platform (AIP), with the company delivering exceptional momentum across its U.S. commercial business.
The clearest evidence of AIP’s success can be seen in revenue growth. U.S. commercial revenue surged 133% year over year and 18% sequentially, highlighting the increasing demand for Palantir’s AI-powered software solutions. The performance suggests that enterprises are moving beyond AI experimentation and increasingly deploying Palantir’s technology in production environments.
Customer growth remains strong as well. U.S. commercial customer count increased 42% year over year and 8% quarter over quarter, indicating that the company is continuing to attract new organizations while expanding relationships with existing clients. A growing customer base creates opportunities for future upselling and larger contract values.
The strength of demand is also visible in Palantir’s deal activity. The number of U.S. commercial deals valued at $1 million or more increased 1.6 times from the prior year, while deals worth at least $5 million grew at the same pace. These figures suggest that customers are committing to larger deployments as they gain confidence in the platform’s capabilities.
Meanwhile, remaining deal value climbed 112% year over year, and total contract value reached $1.18 billion, up 45% from a year earlier. These metrics provide additional visibility into future revenue opportunities and reinforce the durability of current demand trends.
For investors, the key takeaway is straightforward: AIP is becoming an increasingly powerful growth engine for Palantir. As enterprises continue investing in AI-driven transformation initiatives, the company appears well-positioned to benefit from expanding adoption, larger contracts, and sustained commercial momentum.
Relevant Industry Peers
Snowflake SNOW remains one of the most important competitors within enterprise data analytics and AI infrastructure. Like Palantir, Snowflake benefits from growing enterprise demand for cloud-based data platforms and AI-driven analytics solutions. However, Snowflake maintains greater exposure to cloud data warehousing and enterprise data-sharing ecosystems.
C3.ai AI also competes within the enterprise artificial intelligence market, particularly in predictive analytics and AI application deployment. Similar to Palantir, C3.ai focuses heavily on helping enterprises operationalize AI workflows across industries. Still, C3.ai continues facing greater questions surrounding profitability, consistency, and large-scale commercial adoption.
PLTR’s Price Performance & Estimates
The stock has declined 26.5% year to date compared with the industry’s 11.6% fall.
From a valuation standpoint, PLTR trades at a forward price-to-sales ratio of 34.2X, well above the industry’s 3.74X. It carries a Value Score of F.
The Zacks Consensus Estimate for PLTR’s 2026 earnings rose over the past 60 days.
PLTR stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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C3.ai, Inc. (AI): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).