Palantir Set to Surpass Oracle in Value by 2030 Predicts Experts

The battle for supremacy in artificial intelligence (AI) is heating up. As of now, industry experts predict that Palantir Technologies may soon surpass Oracle Corporation in market value. This projection is based on distinct growth trends and financial performances of both companies.

Oracle’s Performance and Growth Trajectory

Oracle has been making significant strides in the tech sector. Over the past year, its stock has increased by approximately 68%, with an impressive 259% rise since the beginning of 2023. The company’s market capitalization currently stands at around $828 billion.

• Revenue Growth: Low double-digits
• Remaining Performance Obligation (RPO): Increased by 359% to $455 billion
• Oracle Cloud Infrastructure (OCI) Revenue Forecast: Expected to grow by 77% this year, reaching $18 billion
• Long-term Projection for OCI: Estimated to rise to $144 billion by 2030

Oracle’s ability to expand its revenue base alongside impressive performances has positioned the company favorably in the marketplace.

Palantir’s Impressive Surge

Palantir, with a current market value of $422 billion, has shown strong revenue growth. It has recorded eight consecutive quarters of increasing revenue, with a remarkable 48% year-over-year growth in Q2 alone. The company exceeded $1 billion in revenue for the first time, showcasing its growing market presence.

• Total Contract Value (TCV): Reached $2.27 billion, a 140% increase
• U.S. Commercial TCV: Increased by 222% to $843 million

Palantir is on track to generate approximately $4.16 billion in revenue by 2025, with a projected annual growth rate of 38.8% over the next five years. Analysts predict that its sales could reach around $21 billion by 2030.

Market Projections for Both Companies

Wall Street analysts expect both Oracle and Palantir to reach a market cap of about $2 trillion by 2030. For Oracle, anticipated revenue in fiscal 2026 is around $67 billion, with a projected annual growth rate of 28.7% over the next five years. In contrast, Palantir’s expected growth trajectory may allow it to outpace Oracle.

Conclusion

While both companies exhibit strong growth indicators, experts indicate that Palantir’s trajectory may allow it to surpass Oracle in market capitalization by 2030. However, the valuation challenges faced by Palantir raise caution about potential market fluctuations. Investors should stay informed about these developments as the AI landscape evolves.