Investors and traders all over the world are asking one big question right now: will Palantir hit $100? After a phenomenal run in 2024, Palantir Technologies (NASDAQ: PLTR) has become one of the most discussed stocks in the artificial intelligence boom. The company’s strong momentum, high-profile partnerships, and inclusion in major indexes like the S&P 500 and Nasdaq-100 have made it a favorite among both institutional investors and retail traders.

By the end of 2024, Palantir is trading at approximately 82. As its market cap soared and with investor interest at an all-time high, many are asking whether the stock will reach the desired level of 100. We will deconstruct what has contributed to this skyrocketing growth, what analysts are uttering and whether Palantir is powerful enough to warrant such a valuation.

Palantir’s Meteoric Rise in 2024

The largest investment theme of 2024 was artificial intelligence, which played to Palantir to a great advantage. As it appeared that giants such as Nvidia, Microsoft and Amazon were taking the spotlight, Palantir was quietly making its way to the top of the S&P 500  list, and its performance astonished even more when it became the highest performer of the year with a 380% increase over the course of 12 months.

That was the tipping point, with the launch of the Artificial Intelligence Platform (AIP) in April 2023. The platform was soon adopted by both government and commercial customers and this increased revenues in the company and enhanced its profitability. At the end of 2024, Palantir was reporting consistent positive net income, a goal that had been elusive to the firm in its initial years as a public company.

Investors are now asking not just whether Palantir can maintain this momentum, but also whether Palantir will hit $100 per share soon, given its current trajectory.

Strategic Partnerships Driving Growth

Among the largest factors that have propelled Palantir has been the capability to make deals with some of the biggest names in technology and defense. The company also managed to sign contracts with Microsoft, Oracle, Amazon, Meta, and Booz Allen Hamilton in 2024. Such partnerships provide Palantir with access to broader markets and make it more credible in public and in private.

Additionally, its government contracts, including U.S. defense deals, remain a solid revenue backbone. Investors view Palantir’s deep ties with government agencies as a protective moat, one that insulates it from competition and ensures long-term stability.

With such momentum, it is not surprising that people are seriously debating whether PLTR stock will hit $100, perhaps even earlier than analysts had once expected.

Index Inclusions and Investor Confidence

Another milestone that fueled Palantir’s stock price was its inclusion in the S&P 500 and Nasdaq-100 indexes in 2024. This move forced large institutional funds and ETFs to buy Palantir shares, further increasing demand and liquidity.

The mental stimulus of having membership in such elite indexes is invaluable. It ranked Palantir with the most valuable and stable companies in the world, which then made it more appealing to investors who would have regarded it as being too risky.

Consequently, the steady increase in Palantir stock across the year has led to the assumption among many traders that it will not take long before Palantir can hit the mark of 100.

Palantir’s Valuation: A Double-Edged Sword

While the growth story is undeniable, valuation remains the biggest concern. Palantir’s revenue growth is strong, but its stock price has risen even faster. The company is now trading at valuation multiples far higher than most peers in the AI and software sector.

Here is a look at Palantir’s valuation metrics as of December 2024:

Valuation Metric	Valuation Multiple
Price-to-Sales (P/S)	73.4
Price-to-Earnings (P/E)	403.5
Forward P/E	169.5
Price/Earnings-to-Growth	3.5

These numbers highlight just how stretched the stock has become. A forward P/E of 169.5 means investors are paying nearly 170 times next year’s earnings for a company growing at around 30% annually. Generally, a PEG ratio above 1 is considered expensive, but Palantir’s sits at 3.5, signaling that the price has outpaced realistic earnings growth.

This disconnect between fundamentals and valuation is why many analysts are cautious. The question is not only will Palantir hit $100, but also whether it can stay there without a major correction.

The Role of Hype and Retail Investors

Another factor fueling Palantir’s rally has been retail investor enthusiasm. Platforms like Reddit, Twitter, and YouTube are filled with discussions about Palantir, often framing it as the “next Nvidia.” Meme investors and momentum traders have added fuel to the fire, pushing the stock higher at a rapid pace.

While hype can sustain prices in the short term, it also brings volatility. Analysts warn that if sentiment shifts, Palantir could see sharp pullbacks that catch inexperienced investors off guard. That’s why even though the stock might touch $100, sustaining that level could be far more challenging.

Comparing Palantir to Other AI Giants

To answer the question will Palantir hit $100, it helps to compare it with established AI leaders. Nvidia, for instance, experienced explosive growth due to its dominance in GPUs, which are critical to AI development. Microsoft and Amazon leverage AI within massive cloud ecosystems, creating recurring revenue streams that justify high valuations.

Palantir, in turn, is a company that focuses on AI-based enterprise software. Its niche is strong and differentiated but it is not yet at the size of these giants. With that said, its speed in adaptation in government and commercial areas may mean it finds a niche in the AI ecosystem.

Provided Palantir maintains its rate of innovation and implementation, reaching 100 could be only the start and not the end.

Short-Term vs Long-Term Outlook

In the short term, Palantir could absolutely reach $100. The stock is already within striking distance at $82, and another strong quarterly report or a new partnership could push it higher. Technical momentum and investor enthusiasm make this a very real possibility by 2025.

In the long term, however, the bigger question is sustainability. Can Palantir grow into its valuation? Can it expand its revenue at a pace that justifies a triple-digit stock price without relying solely on hype?

The answer to whether the company can keep on its AI strategy, increase its client base, and enhance profitability will be “yes,” maybe. However, in the event that the growth is sluggish or the competition is stiff, the stock might be subjected to massive corrections.

Conclusion: Will Palantir Hit $100?

So, will Palantir hit $100? The answer is both yes and maybe. Yes, because the stock’s current momentum, strong AI adoption, and high-profile partnerships make the $100 mark achievable, possibly within the next year. But maybe, because valuations are stretched, the hype-driven nature of the rally could result in sharp pullbacks.

As an investor, you need to strike a balance between optimism and caution. Palantir holds huge potential within the AI industry and the long-term narrative is attractive. The road to 100 might not be linear—it might involve fluctuations, backlash and consolidation periods.

With the ongoing revolution of AI, Palantir is certainly one of the most promising in the market. It may either stagnate above $100 or hover around that figure but the stock has already established its role in the discussion as a future leader in artificial intelligence.

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