Fri Dec 26 12:20:00 UTC 2025: Palantir Stock Soars as Retail Investors Bet Big on AI-Driven Defense Tech
NEW YORK – Palantir Technologies is experiencing a surge in popularity among retail investors, with individual traders on track to pour nearly $8 billion into the stock in 2025. This represents an over 80% increase from the previous year and a staggering 400% jump from 2023. This makes Palantir the fifth-most bought security on balance this year, trailing only mega-cap stocks like Tesla and Nvidia.
Fueled by the artificial intelligence boom and its association with national defense, Palantir has seen its shares skyrocket, boasting gains of over 150% this year alone. Over the last three years, the stock has surged nearly 3,000%, significantly outperforming the S&P 500 and Nasdaq Composite.
Kyle Dijamco, a Los Angeles-based marketer, exemplifies this trend. His position in Palantir now stands at approximately $25,000, with plans to increase his holdings further on future market dips. “It’s an exciting stock to own,” Dijamco told CNBC.
While Wall Street analysts remain hesitant due to the company’s high valuation – currently around 450 times trailing earnings – retail investors are drawn to Palantir’s ambitious mission and CEO Alex Karp’s vision, drawing parallels to Tesla’s early days.
VandaTrack data shows retail buying cooled off as growing fears of an AI bubble left investors questioning the trade. Palantir has actively courted individual investors, even soliciting questions from them during earnings calls, a move praised by its CEO, Alex Karp.
Despite some controversy surrounding the company’s connections to wartime technology, Palantir’s popularity continues to grow on platforms like WallStreetBets, where it has become a frequently discussed stock. While some institutional investors like Michael Burry have bet against Palantir, retail investors remain undeterred, seeing “destiny” where others see overvaluation.
First Piper 