It’s been a difficult year for Palantir Technologies (PLTR +9.29%) shareholders. The stock has declined 12% in 2026, while the S&P 500 (^GSPC +0.22%) and Nasdaq Composite (^IXIC +0.20%) have gained 11% and 16%, respectively.
Palantir shares have retreated alongside many software stocks because investors are worried that artificial intelligence will disrupt the industry. But Wall Street thinks the selling is overdone. Palantir has a median 12-month target price of $200 per share, implying 28% upside from its current share price of $156.
I am slightly less optimistic. I think Palantir will trade around $177 per share by May 2027. Here’s why.
Image source: The Motley Fool.
