Palantir Technologies Inc. Palantir (PLTR) is finding that winning wars doesn't always win friends. CEO Alex Karp is on a global push to sell the company's battlefield-tested software, but he's running into resistance from European governments that want to build their own tech — and from a UK agency that already replaced a Palantir-built system with something homegrown.

Let's start with Germany, where the pushback is most pointed. Germany's Digital Minister Karsten Wildberger said he wants Europe to develop a long-term alternative to Palantir. Meanwhile, Bundeswehr cyber chief Vice Admiral Thomas Daum raised concerns about giving industry staff access to national military databases. Karp, who studied in Germany and co-founded Palantir with German-born Peter Thiel, seemed genuinely surprised by the cold shoulder. He argued that major global battlefields already rely on Palantir technologies, and questioned why Germany would hesitate to adopt a system with such deep German connections.

Karp's strongest argument comes from Ukraine. After meetings with President Volodymyr Zelenskyy and Minister Mykhailo Fedorov in Kyiv, Karp praised Ukraine for building what he called one of the world's most advanced military defense systems — with Palantir's software acting as an "operating system for war." The company's tools help Ukraine manage battlefield operations using real-time data and targeting systems. Karp urged European governments to adopt these proven technologies rather than rely on untested alternatives.

But the UK is already moving in the opposite direction. The Ministry of Housing, Communities and Local Government replaced a refugee-housing platform originally built on Palantir's Foundry software with an internally developed system. The department said the in-house replacement reduced operating costs by millions of pounds annually while improving flexibility and control over data and software code. Former government technology adviser Terence Eden called it an important step toward more "sovereign technology." Not everyone agrees: BCS deputy president Emma Logan noted that external vendors like Palantir still provide valuable speed and expertise for urgent national projects.

These developments come as Palantir's stock trades at a premium valuation that leaves little room for error. The next major catalyst is the August 3, 2026 (estimated) earnings report. Analysts expect earnings per share of 33 cents, up from 16 cents a year ago, and revenue of $1.81 billion, nearly double last year's $1.00 billion. But the stock's P/E of 150.3x signals that investors are pricing in perfection.

Analyst opinions are split. Citigroup rates Palantir a Buy with a $225 price target (raised on May 6). Argus Research upgraded to Buy with a $190 forecast on the same day. But RBC Capital maintains an Underperform rating with a $90 target, suggesting the stock could be cut in half. The consensus average price target is $189.38, implying about 42% upside from Friday's close.

Palantir shares were down 0.19% at $133.47 at the time of publication on Friday. For a company that's become synonymous with military tech, the battle for Europe's trust — and contracts — is just heating up.