Morgan Stanley has finally conceded that Palantir Technologies is not a stock to sell, but its analysts aren’t quite ready to call it a buy either.

Palantir Technologies Inc. shares jumped after giving a full-year revenue forecast that exceeded analysts’ estimates, thanks to what Chief Executive Officer Alex Karp described as “untamed organic growth” in demand for its artificial intelligence software.

Palantir Technologies reported strong revenue growth last quarter as the company that made its name providing software to the U.S. government said demand for its artificial intelligence products continues to expand.

Palantir bet on software that allows companies to deploy large-language models in a practical sense, and management says that’s paying off big time.

Palantir recommends its clients steer clear of Chinese startup DeepSeek's AI models, a senior executive of the data analytics company said on Monday, days after doubts were raised about the United States' lead in AI technology.

Palantir (NASDAQ:PLTR) has urged clients to avoid Chinese AI startup DeepSeek, citing security concerns. Chief Revenue Officer Ryan Taylor stated that U.S. government agencies are unlikely to use DeepSeeks models.