While the operational momentum is clearly solid, investors should pay closer attention to the risks. History shows Palantir stock can fall hard as sentiment shifts.

One of the most encouraging signs for long-term investors is that growth is coming from both sides of the business. For perspective, U.S. commercial revenue grew 93% year over year, and U.S. government revenue grew 53% from a year ago.

There's a big hurdle standing in the way of continued increases in the stock price. If you bought $10,000 of Palantir (NASDAQ: PLTR) stock in 2020 when shares first hit the public market, you'd have close to $187,