Palantir Technologies Inc. (NASDAQ: PLTR) shares rose 3.68% on Wednesday after Rosenblatt Securities reiterated a “Buy” rating and $225 price target, citing the Federal Aviation Administration’s artificial-intelligence rollout and Palantir’s existing work within the agency.
The stock closed at $191.79 on September 23, up $6.80 from the prior session, after trading between $182.95 and $193.79. Volume was about 34.9 million shares, below Yahoo Finance’s average of roughly 38.4 million. The S&P 500 fell 0.75%, and the Nasdaq Composite declined 1.13% during the session.
The FAA’s flagship Flow Management Data and Services, or FMDS, contract, which includes the Strategic Management of Airspace, Routes, and Trajectories system known as SMART, was awarded to Air Space Intelligence, not Palantir. The FAA selected Air Space Intelligence in June, and Reuters reported the contract is worth up to approximately $875 million over 12 years.
Separately, federal award records show the FAA issued Palantir a $500,000 firm-fixed-price purchase order on August 13, 2026, described as “SMART – PALANTIR PURCHASE ORDER” under PIID 693KA726P00024. The records list a performance period from August 13 to August 14 but do not disclose the order’s technical scope.
Palantir is tied to a separate FAA Logistics Center procurement covering Foundry licenses, cores, and technical services. Procurement documentation describes an estimated six-month period of performance for that requirement.
Rosenblatt Reiterates Buy Rating and $225 Target
Rosenblatt analyst John McPeake reiterated a “Buy” rating and $225 price target on Palantir on September 23.
The report cited the FAA’s deployment of SMART and Palantir’s existing work within the agency. Rosenblatt said Palantir’s aircraft-safety work with the FAA began in 2021 and has expanded into additional safety applications.
The FAA began operating SMART in limited mode around Washington, D.C., on September 21. According to the agency, the system combines about 200 data streams covering areas including weather, flight paths, traffic flow and controller staffing. The FAA said SMART will roll out more broadly in stages.
FAA records identify Air Space Intelligence as the contractor developing FMDS and SMART. SMART is part of the broader FMDS platform for traffic-flow management at the FAA’s Air Traffic Control System Command Center.
Separate FAA Record Covers Palantir Foundry and Technical Services
The FAA Logistics Center procurement record describes a separate Data Modernization and AI Integration requirement involving Palantir Foundry licenses, cores, and associated technical services.
The justification states that the FAA anticipated placing a firm-fixed-price order through a General Services Administration contract vehicle. It lists an estimated six-month period of performance and describes work involving enterprise data integration, analytics, AI-enabled decision support, and technical support.
Although the accessible notice lists May 1, 2026, as an award date, it does not identify an awardee or contract value, while the justification itself uses forward-looking language describing the action as anticipated. The six-month term also appears in the justification as an estimate.
Separately, federal award data show the FAA issued Palantir a $9.48 million delivery order on July 16, 2026, described as “PALANTIR FOR ASKME/ASPIRE/ADO,” with a listed performance end date of February 10, 2027. The public award data do not link that delivery order to the FAA Logistics Center procurement described above.
The same documentation states that Palantir Foundry has operated within the FAA environment since 2019 and has been integrated into multiple agency workflows and data architectures.
The record identifies deployments involving Aircraft Certification Service, the Office of Hazardous Materials Safety, Aviation Safety Knowledge Management Environment, the Office of Accident Investigation & Prevention, and the FAA Logistics Center.
FAA Market Survey Received 51 Responses
According to the procurement justification, the FAA conducted a market survey in 2026 that received 51 responses.
The agency said 10 vendors met the general scope requirements and two demonstrated sufficient capability for further evaluation. The justification states that Palantir was the only vendor that demonstrated existing integration with specified FAA enterprise systems, familiarity with FAA workflows, and the ability to deploy immediately without significant additional development.
The FAA said moving to another platform would require rebuilding integrations, migrating data, recreating models, and retraining personnel.
Government Revenue Reached $990 Million in the Second Quarter
The FAA work sits within Palantir’s rapidly expanding government business. Palantir reported $990 million in government revenue for the second quarter of 2026, up 79% from a year earlier.
U.S. government revenue rose 90% to $809 million. Total company revenue for the quarter was $1.94 billion.
For the first six months of 2026, government customers accounted for 52% of Palantir’s total revenue, according to the company’s SEC filing.
Yahoo Finance showed Palantir with a market capitalization of roughly $461 billion at Wednesday’s close and a trailing price-to-earnings ratio above 160. Rosenblatt’s $225 price target was about 17% above the September 23 closing price.
PLTRon Also Trades Higher
Meanwhile, Palantir Technologies Tokenized Stock (Ondo), or PLTRon, was trading near $190.52 early Thursday, up about 3.24% over 24 hours, according to CoinMarketCap.
CoinMarketCap showed approximately 17,000 PLTRon tokens in circulation and a token market capitalization near $3.24 million. That figure represents the circulating tokenized product rather than Palantir Technologies’ equity market capitalization.
Ondo Global Markets describes PLTRon as a tokenized instrument designed to provide eligible non-U.S. users with economic exposure linked to Palantir shares.