1.5 Million Users. Zero Hype. Still Private. (From Immersed)

It’s been a rough first half of the year for Palantir Technologies (NASDAQ: PLTR) shareholders. The stock is down nearly 40% in 2026, with shares recently sliding again to test the $107 level.

Short interest, while still low on a percentage basis, is rising. Technology stocks, and software stocks in particular, are being met with suspicion due to the rapid, but perhaps misunderstood, adoption of agentic AI.

That pressure feeds the tried-and-true critique that PLTR is simply overvalued. Even after the sell-off, the stock still trades at a steep forward price-to-earnings (P/E) multiple, well above the S&P 500 average and most software-stock benchmarks.

However, Palantir has consistently shown that its stock may be worth the premium. Two announcements in the past week reinforce that view and suggest the sell-off is creating a buying opportunity rather than confirming the bear thesis.

Zeta Global Partnership Expands the Commercial Pipeline

Palantir and Zeta Global (NYSE: ZETA) have entered into a seven-year strategic partnership in which Zeta's Data Cloud will be rearchitected on Palantir's Foundry infrastructure, with Athena by Zeta remaining as the application layer. Foundry provides the ontology, governance, and operational backbone; Athena (Zeta's AI intelligence layer) sits on top to drive real-time, agentic marketing decisions for enterprise clients.

What does that mean for Palantir’s finances? The partnership gives Palantir access to a new batch of potential customers representing more than $100 million in annual revenue. It also includes the development of a joint forward-deployed engineering team. CEO David Steinberg framed that $100M+ as an annual run-rate target "in the coming years," not a contract value.

ZETA shares climbed 5% on Tuesday, June 23, following the announcement. Wedbush and DA Davidson have flagged it as further enterprise AI validation for Palantir.

Another Government Win Builds on a Core Strength

Next Generation Command and Control (NGC2) is the Army's top modernization priority and its contribution to Joint All-Domain Command and Control (JADC2). That's the Pentagon's effort to fuse data across land, air, sea, space, and cyber. The Army has now established the foundational data architecture for NGC2, built on Palantir's Foundry as the cloud data layer and Anduril's Lattice as the tactical data layer. Raft handles data registries, transformation tools, and federation.

The financial implications are substantial, even though no contract value was disclosed. The award falls under Anduril's 10-year enterprise licensing agreement with the Army, which carries a $20 billion ceiling. Palantir's role is foundational rather than peripheral. Every future NGC2 application, AI model, and battlefield system built on this architecture will run on Foundry.

That matters because Palantir's government segment remains the company's largest revenue base. NGC2 is just beginning to scale beyond the 4th Infantry Division and 25th Infantry Division pilots. As the Army rolls the architecture out to additional formations, Foundry captures recurring revenue at the platform level. The win also complements existing government franchises, such as TITAN and the Maven Smart System.

The takeaway for investors is that new contracts lead to higher revenue and earnings. That’s the signal. The rest is noise.

There's nothing wrong with taking profits on a stock that was ahead of itself at over $200 per share. There’s also nothing wrong with having been early on PLTR. It’s a one-of-one company, and those don’t come around often.

Chart Shows Weak Hands Exiting, Not Capitulation

PLTR has broken through a support level of around $128. The $115 level has now given way as well, and shares are sitting roughly $30 below the 50-day simple moving average at $137. Palantir bears smell blood, which could lead to more selling.

But a fair read of the chart shows that the recent sell-off is taking place on, at best, average volume. That’s not a sign of capitulation, but rather a sign of the weak hands exiting the trade. The relative strength index (RSI) has also dipped below 30, a sign that selling may run out of steam sooner than expected.

The MACD is deeply negative but extended; a setup that often precedes a counter-trend bounce. The next logical catalyst for a sustained rally will be the company’s upcoming earnings report, expected on Aug 3, 2026. Palantir is likely to report strong results...and history suggests the stock is likely not to reflect that strength.

The question for investors is, what role does PLTR play in a portfolio? As a short-term investment or trade, it’s a poor choice. There are many headwinds against software stocks in general and Palantir in particular. But the two deals announced this week reinforce why Palantir still merits a place in a long-term portfolio. The sell-off is uncomfortable, but for now seems like normal portfolio rebalancing driven by valuation normalization rather than a thesis breaker.

Read this article online ›