Wall Street Loves Palantir Stock as the Iran War Rages On

Geopolitical conflicts often result in a rally across the aerospace and defense industry, but seldom do they cause a software stock to trade against the trend. Yet that's undoubtedly what happened with Palantir (PLTR) stock, which gained 15% during the last week. What makes it even more fascinating is that this came at a time when software stocks are hurting due to AI developments.

While President Trump has dubiously claimed the Iran war is already coming to a conclusion, stakeholders know things are not that straightforward. Iran’s decision to target U.S. military installations in neighboring countries, along with leveraging the Strait of Hormuz traffic, has made one thing clear: the regional political temperature is not going down anytime soon, even if U.S. military strikes stop.