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Key Stats for PLTR Stock
- Price Change for Palantir stock: 4.5%
- Current Share Price: $168
- 52-Week High: $168
- PLTR Stock Price Target: $114
What Happened?
Palantir (PLTR) stock surged to new all-time highs, climbing 4.6% after the artificial intelligence software company delivered a stunning second-quarter earnings report that shattered Wall Street expectations across every metric.
Palantir posted adjusted earnings per share of $0.16 versus the $0.14 consensus. At the same time, revenue reached $1.004 billion, marking the first time Palantir has crossed the $1 billion quarterly revenue threshold and beating estimates of $937 million.
The blockbuster results were driven by explosive growth in Palantir’s U.S. business, which grew 68% year-over-year to $733 million.
Notably, U.S. commercial revenue nearly doubled with 93% year-over-year growth to $306 million, demonstrating the accelerating adoption of the company’s Artificial Intelligence Platform (AIP).
Palantir also delivered exceptional profitability metrics, achieving a Rule of 40 score of 94%, combining revenue growth and operating margins in a way that CEO Alex Karp called “the single most impressive number any enterprise software company has ever seen.”
Palantir dramatically raised its full-year guidance, increasing revenue projections to $4.142-4.150 billion from previous guidance of $3.89-3.90 billion.
For Q3, PLTR stock guided to revenue of $1.083-1.087 billion, well above analyst estimates of $983 million. The guidance raise represents management’s confidence that the AI revolution is driving sustained demand for Palantir’s ontology-based software platform.
See analysts’ full growth forecasts and price targets for Palantir (It’s free!) >>>
What the Market Is Telling Us About PLTR Stock
The PLTR stock surge to all-time highs signals that investors are increasingly convinced Palantir has achieved a sustainable competitive advantage in enterprise AI.
The company’s unique approach of combining large language models with its proprietary ontology, what management calls “pure understanding, concretized in software,” is proving to deliver tangible business value that competitors cannot replicate.
The market is excited about Palantir’s expanding influence across commercial and government sectors.
During the quarter, Palantir closed 157 deals worth $1 million or more, including 66 deals exceeding $5 million and 42 deals over $10 million.
Last week’s announcement of a massive $10 billion, 10-year contract with the U.S. Army further validates Palantir’s essential role in modernizing government operations.
CEO Alex Karp’s bullish commentary about achieving “10x revenue” with a leaner workforce of 3,600 people (down from the current 4,100) suggests Palantir’s business model can scale dramatically while maintaining exceptional margins.
Palantir’s customer expansion metrics support this thesis, with top 20 customers now averaging $75 million in annual revenue, up 30% from last year.
However, the euphoria comes with valuation concerns. At current levels, Palantir trades at 276 times forward earnings, making it one of the most expensive stocks in the market. This extreme multiple reflects investor belief that the company’s AI advantage will translate into sustained hypergrowth, but also creates substantial downside risk if execution falters or competition intensifies.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
