Palantir Raises Revenue Forecast as AI Software Demand Drives 93% Growth in Q2 2026

Palantir raises annual revenue forecast on strong demand from US government, commercial customers

Aug 3 (Reuters) - Palantir Technologies (PLTR.O), opens new tab on Monday raised its annual revenue forecast again, signaling strong demand for its data analytics software from government and commercial clients. Shares of the company rose 8% in extending trading. Palantir now expects annual revenue between $8.150 billion and $8.158 billion, up from its prior forecast of $7.650 billion to $7.662 billion. "Our business is compounding at a rate and scale that we have never before witnessed," CEO ⁠Alex Karp said in a letter to shareholders. Modern warfare and geopolitical uncertainty have forced governments to invest in advanced defense technologies such as Palantir's AI-powered battlefield software and Anduril's autonomous drones. Founded in 2003, Palantir offers tools including its Artificial Intelligence Platform (AIP) for deploying AI applications, Gotham for defense and intelligence operations, and Apollo for managing software deployments, helping government and enterprise clients ⁠make decisions using their own data. Anduril and Palantir are working together to develop software for U.S. President Donald Trump's Golden Dome antimissile shield initiative, several media outlets including Reuters reported earlier this year. Palantir also raised ⁠its forecast for U.S. commercial revenue to be more than $3.424 billion, from $3.224 billion earlier. The outlook for third-quarter revenue of between $2.160 billion and $2.164 billion ⁠was above analysts' average estimate of $2 billion, according to data compiled by LSEG. The company reported adjusted earnings per share of ⁠41 cents in the second quarter, beating estimates of 35 cents. Revenue rose 93% to $1.94 billion, exceeding estimates of $1.80 billion. Reporting by Jaspreet Singh in Bengaluru; Editing by Sriraj Kalluvila Our Standards: The Thomson Reuters Trust Principles., opens new tab

Palantir forecasts greater demand from US groups for its AI software

Palantir raised its revenue forecast for the year on Monday, saying demand from US companies for its American-made AI software was helping lift sales. The Florida-based tech company said it expected full-year revenue of at least $8.15bn with US commercial revenues of $3.4bn. Both figures exceeded analysts' expectations. "Demand for AI sovereignty has now been unleashed," said Alex Karp, Palantir's chief executive. "Our customers trust us to provide them with maximal control over their operations, data and decisions." Monday's increased outlook helped lift Palantir's shares nearly 10 per cent in after-hours trading, buoying investors who had pulled back from the group amid fears of AI-induced disruption. The company has been under pressure this year with its shares falling 25 per cent in the year to date ahead of the earnings. Palantir also posted better than expected earnings for the second quarter with US sales climbing 23 per cent to $1.57bn. Net income for the period came in at about $1.06bn. Karp said the quarter had been "otherworldly". Palantir, which was founded in the years following the September 11 terror attacks, has positioned itself as a bastion of the west capable of defending the US and its allies from similar threats. Yet the business has experienced pushback in international markets as Karp increasingly intertwines Palantir with the Trump administration and its policies, including a crackdown on illegal immigration. Karp has commented on the business being "anti-woke" and its tools being used to kill US enemies. The company's Maven tool has been deployed by the US military in strikes against Iran, with the Pentagon using the system to comb through data and identify targets. Foreign governments are increasingly seeking to disentangle themselves from Palantir and other US tech groups in an effort to move their systems outside the sphere of Washington's influence. France's domestic intelligence agency signed a deal with ChapsVision in June alongside plans to give government workers access to an AI assistant powered by France's Mistral. Palantir's UK contracts have been subject to significant scrutiny, while Germany's armed forces have excluded the group from contracts. Officials in Denmark and the Netherlands have similarly expressed a desire to uncouple from the US-based software group. Palantir's business has grown more concentrated in the US, with it ever more reliant on deals in its home market. Roughly 19 per cent of its total revenue in the quarter came from international customers, down from 27 per cent in 2025. The company has signed a number of commercial deals, including reaching an agreement with law firm Kirkland & Ellis in June to deliver an AI system that can draft letters, track agreements and monitor compliance. But these deals are dwarfed by its $10bn agreement with the Pentagon last year to provide tools for the army over the coming decade.

Palantir earns an upgrade after its big second quarter, as analysts get bullish on its AI business

Analysts on Wall Street reaped praise on Palantir Technologies for its second-quarter report, stating that the company is building a successful strategy on artificial intelligence. The AI software company posted an earnings and revenue beat , with the top line. Revenue was up more than 90% compared to a year ago, while net income soared 125% in that time. Commercial revenue for Palantir surge 149% compared to a year ago too, showcasing that the company's customer base is diversifying beyond the U.S. government, revenues from which still outpaced commercial totals. The stock was surging 16% in premarket trading Tuesday. Wall Street firms broadly reiterated their previous ratings on Palantir's stock, but Deutsche Bank came out on Tuesday with an upgrade on shares to buy from hold. PLTR YTD mountain Palantir Technologies year-to-date. "The quarter further reinforces our view that Palantir is operating several steps ahead of the rest of Software in converting AI demand into real customer value," wrote analyst Brad Zelnick in a note. "Palantir increasingly looks like a time traveler, having already arrived in the AI future others are still aspiring towards." While investors are pouring into Palantir shares after the earnings results, the stock has struggled in 2026 -- down 29% as of Monday's close -- as investors worried more broadly about how the software industry may be disrupted by AI. But it's Palantir's AI push that could turn the stock around, according to Goldman Sachs. "We believe the key to unlocking stock outperformance post a YTD pullback will be Palantir's ability to capture incremental AI business at enterprises that are diversifying their model strategies toward a balance of SLMs, open source/weight, and frontier models, on top of Palantir's already-proven ability to expand within existing customers," wrote analyst Gabriela Borges in a note. Deutsche Bank: Buy, $200 The bank's rating has been raised from hold. "Importantly, the quarter showcased Palantir's Sovereign AI capabilities, which we believe are increasingly resonating as customers realize that AI value generation is not simply about consuming more tokens, but about converting those tokens into governed, measurable outcomes. Management framed AIP as the environment where customers can build, deploy, evaluate, and continuously improve AI workflows inside their own security boundary, and we are very intrigued by tools like AIP Evolve helping optimize model selection, further differentiating Palantir as a partner to enterprise customers." Baird: Outperform, $200 "With strong forward-looking indicators (US commercial TCV and RDV re-inflecting), including record-setting large deal momentum (73 $10m+ deals), the company raised full-year guidance from 71% total revenue growth to 82%. We remain positive on the strong revenue and FCF, along with impressive productivity/efficiency, and view its current EV/FCF multiple as attractive given expected growth and further upside to estimates." Mizuho: Outperform, $215 The bank's price target, up from $185, represents a 71% gain from Monday's close. "We reiterate our view that PLTR is in a category of one, delivering total revenue growth, acceleration, and margin expansion at scale unlike anything else in software. We also remain bullish on PLTR's U.S. Commercial business, fueled by rising enterprise adoption of AIP and growing urgency around operationalizing AI. And more broadly, we remain steadfast in our view that PLTR is increasingly well-positioned to benefit from long-term trends in AI, government digital transformation, and industrial modernization." UBS: Buy, $220 The bank's price target, up from $200, implies a 75% rise from Monday's close. "At ~44x our revised 2027e FCF, we believe that Palantir shares are undervalued relative to its medium-term growth (we're estimating a 3-year CAGR of ~63%) and profitability. We're raising our PT from $200 to $220, based on ~46x our increased 2028 FCF estimate (prior 72x CY27e), a justified premium to the high-growth peer group." Truist: Buy, $223 "Palantir is seeing significant demand for sovereign AI and views the opportunity as an incremental TAM expander. US Commercial revenue grew a significant 149% y/y to $764M as management noted its customers increasingly want to protect their proprietary data from the AI model providers. We see significant opportunity for PLTR to gain share as customers increasingly seek to retain ownership of their data, workflows, reasoning traces, and model weights, rather than contributing enterprise intelligence back to foundation model providers." Citi: Buy, $245 The bank's price target, up from $200, implies an almost 95% gain from Monday's close. "Palantir increasingly appears to be benefitting from enterprise demand for 'AI sovereignty' with use cases around model evaluation, fine-tuning, as opposed to traditional data integration. On the back of stronger bookings, backlog and guidance, we are taking estimates materially higher." Bank of America: Buy, $255 "We view the strengthening Palantir (PLTR) results as a reflection of a successful AI strategy that focuses on providing the right infrastructure to maximize its customers' results. While FDEs and Ontologies are gaining popularity across software providers, Palantir's secret sauce starts with their deep partnerships with customers and extends to how they price their solutions based on measurable outcomes and value generation." Cantor Fitzgerald: Neutral, $156 The firm's price target, up from $138, indicates a 24% gain from Monday's close. "Management expects momentum to continue, delivering its largest-ever CY raise for C26 vs prior guide and commented on the call that it aims to grow the total business in line with US Commercial (current total/US Commercial growth rates 93%/149%) over the next 18 months, likely driving C27/C28 forecasts higher. This growth, driven by US Commercial, is supported by expectations for continued NDR expansion as both large and relatively smaller new customers broadly continue to expand use cases on the platform as Palantir delivers value from tokens." Goldman Sachs: Neutral, $204 "Enterprise AI success increasingly depends on operationalizing AI within existing workflows while maintaining control over data, logic, and intellectual property (or sovereign AI). Ongoing industry conversations lead us to be incrementally positive on the stock because of this next growth catalyst, although we continue to evaluate the competitive environment." Morgan Stanley: Equal weight, $205 "With 2Q results Palantir has now accelerated revenue growth every single quarter for 3 years running - a remarkable achievement especially given that operating margin has expanded from 25% to 60% over the interim period. Unlike 1Q26, both revenue and bookings metrics confirmed that demand remains at extraordinary levels." RBC Capital Markets: Underperform, $90 "Q2 was solid as Total Revenue (+93% YoY, ~6.7% above cons.), Adj. Operating Margin (61.7%), and Adj. EPS ($0.41) all beat cons. By segment, Total Commercial Revenue (+110% YoY) beat cons. by 5.5%, and Total Government Revenue (+79% YoY) beat cons. by 8.1%... Stepping back, Q2 was strong, but we continue to have concerns around the sustainability of growth/growing competition."

Palantir jumps 16% on 'otherworldly' commercial revenue -- here's what's driving the demand

Palantir's results "further weaken the bear case around rising AI competition," as demand for data privacy from AI companies sets it apart, Citi analysts said. Palantir soared in premarket trading on Tuesday after the company reported "otherworldly" second-quarter earnings driven by customer demand for AI sovereign tools. The enterprise software giant reported a 93% growth in overall revenue to $1.94 billion, up from around $1 billion a year ago, and beating LSEG estimates of $1.8 billion. Its commercial revenue jumped 149% to $764 million, and government revenue grew 90% to $809 million. The company expects full-year revenue between $8.15 billion and $8.158 and commercial revenue in excess of $3.424 billion. Palantir was last up 16.3% in premarket trading. Palantir's Co-founder and CEO Alex Karp described the quarter as "otherworldly," adding that the sovereign AI revolution makes them "very optimistic about the future." "Forget consensus," Karp told CNBC's Seema Mody in an exclusive interview. "To my knowledge, no businesses at our scale has even grown half this much." Palantir, which designs systems that help companies integrate AI with their existing systems and data, pinned its blowout earnings on growing demand for AI sovereignty as companies seek to keep their data private from frontier AI labs like OpenAI, Google, Anthropic, and Meta. In a letter to shareholders, Karp said "the revolution for independence and AI sovereignty is now well underway," noting that the business has "Marxist" values. "Our customers have declined to become vassal states of the language labs," Karp said in the letter. "Every organization in the world is awakening to the risks of handing the creators of the language models the keys to their institutions, of letting the models loose within their homes." The company's stock has declined 29% so far this year as investors increasingly become cautious on the AI trade. Despite this, Citi analysts said in a note on Tuesday that Palantir's results "further weaken the bear case around rising AI competition," as demand for data privacy from AI companies sets it apart. Companies rely on Palantir's technology to integrate their software, while also making demands to keep their data private from AI models. "In our view, the results reinforce Palantir's position as one of the clearest beneficiaries of enterprise AI adoption, with accelerating commercial demand demonstrating the company is benefitting from similar demand as the fastest AI natives on the market," the analysts said in a previous note on Monday. "We expect shares up meaningfully given the significant snapback in U.S. Commercial performance, which pushes back against slowing growth," they added. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Palantir soars as corporate AI sales surge in U.S.

Why it matters: Best known as a vendor of national security software to the U.S. government, Palantir has stressed that its AIP software platform -- which helps corporations better embed AI into operations -- would be another key driver for the business. The latest: The plan certainly seemed to work in the second quarter. * U.S. commercial software sales rose roughly 150%, to $764 million. * That's not far off from the $809 million in second-quarter sales to the U.S. government that Palantir reported. (That's up 90% compared with the prior year.) Between the lines: Palantir also lifted its full-year guidance for revenue, adjusted income and free cash flow above both its own prior guidance and Wall Street consensus expectations. What they're saying: "Palantir is the only company that has demonstrated it can transform tokens into actual economic value," said Palantir CEO Alex Karp, in keeping with his tendency toward less-than-modest pronouncements. * "Our customers trust us to provide them with maximal control over their operations, data, and decisions. Their competitive advantage should never become the training data for future models." Bottom line: The market likes it. Palantir's shares jumped over 10% after hours.

'This quarter was otherworldly': Palantir earnings surge past expectations

Shares soar as yearly revenue up 93%, even as opposition grows to company's role in Trump immigration agenda In a sea of companies reporting mixed financial results this quarter, Palantir stands out. Although Palantir was not immune to the AI jitters that caused industry-wide drops in share prices earlier this year, the AI and analytics company reported that its overall revenue grew 93% year over year to $1.94bn. That's well over the $1.8bn Wall Street expected Palantir to bring in for the second quarter. The glowing financials sparked a 10% surge in share prices in the immediate aftermath. Despite growing opposition to Palantir's work with various governments including the crucial role the company plays in the Trump administration's immigration agenda, Palantir's revenue from US government contracts grew 90% year over year to $809m. "This quarter was otherworldly: our US commercial revenue grew 149% year-over-year, our overall revenue grew 93% year-over-year," Palantir's CEO Alex Karp said. The company expects that growth to continue over the next two quarters and said they expect to bring in $2.160bn to $2.164bn in the third quarter and raised their expectations for full year revenue to between $8.150bn and $8.158bn. The company previously said it expected to bring in between $7.65bn and $7.66bn in 2026. But analysts remain unsure of whether Palantir can maintain that level of growth, or whether AI could replace some functionalities of its various software offerings. Emarketer analyst Jacob Bourne said there was strong evidence existing customers are committed to Palantir and that the company has "been the clearest counter-example to the claim that enterprise AI doesn't scale past pilots, and accelerating growth makes that harder to argue with". "What it doesn't settle is whether AI eventually collapses the software layer Palantir occupies, which has weighed on its stock price this year," Bourne said in a statement. In his letter to shareholders and in interviews ahead of the earnings call, Karp took aim at the creators of large language models like OpenAI and Anthropic that use a token system to provide access to its AI. He wrote that Palantir's partners and customers want to maintain "control over data" and not hand the keys to all their proprietary information over to the large language labs which meed to ingest as much data as possible to train their models. Karp suggested that was part of why customers are choosing Palantir over other companies. "The models have grown and thrived by essentially ingesting the entire written work product of our civilization," Karp wrote in his letter. "We have always declined, and will continue to decline, entering into a parasitic relationship with our partners," Karp said.

Palantir CEO Alex Karp celebrates 93% revenue growth as stock soars after blockbuster earnings: 'For the first time people believe us' | Fortune

When it was Alex Karp's turn to speak on Palantir's second-quarter earnings call Monday evening, the CEO could barely contain his excitement. Grinning as he repeatedly pounded his pen on the table -- and taking jabs at unnamed Silicon Valley AI competitors who "eat vegetables" and don't support the U.S. military -- a pugnacious Karp reveled in what he saw as a landmark moment for the AI software company and a vindication of its approach of selling customized AI services to businesses. "Obviously, we are loving these results and loving what they mean for our customers and, broadly speaking, the West," Karp said. In the quarter ended June 30, Palantir delivered one of its strongest quarters yet. Revenue surged 93% year over year to $1.94 billion, easily topping analysts' expectations of $1.801 billion. The company reported net income of roughly $1.1 billion, or 41 cents per share, ahead of Wall Street's estimate of 35 cents. This time, investors also responded positively to the company's results. Palantir shares, which had fallen roughly 30% this year after a blistering rally in 2025, surged more than 14% in after-hours trading Monday following the results. The reaction marked a sharp reversal from May, when the company also posted a blowout quarter -- including 85% revenue growth and beats on both revenue and earnings -- but the stock nevertheless fell about 7% as investors questioned whether expectations had become too lofty. "We are fully aligned with what's right and what's good, and what actually works well in the enterprise. And for the first time people believe us," Karp said on Monday's call. "And if you didn't believe us, you can believe 149% growth in the U.S.," he said, referring to the company's U.S. commercial revenue growth in the second quarter. Behind Palantir's blockbuster quarter: bigger AI deals and booming U.S. demand Palantir closed 220 deals of at least $1 million in value in the second quarter, with 98 of the deals of at least $5 million, and 73 deals of at least $10 million. The AI and defense software firm also celebrated continued growth in the U.S. in particular, where commercial revenue jumped 149% from a year earlier and government revenue climbed 90%. Palantir's updated guidance suggests the AI boom is still accelerating. The company forecast third-quarter revenue of $2.160 billion to $2.164 billion, above the $2 billion expected by analysts. Palantir also forecast Q3 adjusted income from operations of $1.292 billion to $1.296 billion. It raised its full-year 2026 revenue guidance to between $8.150 billion and $8.158 billion, up from its previous outlook of $7.182 billion to $7.198 billion, while increasing its forecast for U.S. commercial revenue growth to at least 134%. Shares of Palantir have been under pressure for the past year amid worries that businesses might replace services like Palantir with off-the-shelf "frontier" AI models from companies like OpenAI and Anthropic. Palantir has gone on the offensive to combat the narrative, arguing that the AI models from Silicon Valley companies don't perform as well and steal customers' private data (an argument that the other companies dispute). "Our customers are making the decision to go deep with us with greater urgency and conviction than I've ever seen before -- choosing AI sovereignty over dependency and compounding their alpha in a way that their competitors and adversaries will forever envy," Ryan Taylor, Palantir's chief revenue officer and chief legal officer, said on Monday's call. Palantir has also been outspoken about its work for the U.S. military and for its technology's use in anti-terrorism and border control, policies that have made the company a target of frequent protests. For Karp, the quarter's success reinforced what he believes has long distinguished Palantir from its rivals: a culture willing to bet on unconventional ideas before the market catches up. "We are a colony of believers and artists that are very motivated to drive value, and that sets aside much more than I would have imagined 10 years ago," Karp said.

Palantir crushes earnings as U.S. AI demand sends revenue soaring 93% and prompts another guidance hike | Fortune

Palantir blew past Wall Street's financial targets in its second quarter and forecast strong growth in the coming months, sending its stock surging 13% in after hours trading on Monday. Revenue in the three months ended June 30 increased 93% year-over-year, totaling $1.94 billion, compared to the $1.801 billion that analysts were expecting. The AI software company posted net income of roughly $1.1 billion, or 41 cents per share, versus the average analyst estimate of 35 cents. Palantir's growth was fueled by continued strength in the U.S., where commercial revenue jumped 149% from a year earlier and government revenue climbed 90%. "Our business is compounding at a rate and scale that we have never before witnessed," Palantir CEO Alex Karp said in a press release, noting that Palantir's second-quarter net income was more than the company generated in total revenue the year before. The AI software company also issued another bullish outlook. Palantir expects third-quarter revenue of $2.160 billion to $2.164 billion and adjusted income from operations of $1.292 billion to $1.296 billion. It also raised its full-year 2026 revenue guidance to between $8.150 billion and $8.158 billion, up from its start-of-year forecast of $7.182 billion to $7.198 billion. Shares of Palantir, which are down roughly 30% this year, jumped 13% to $142.0.1 in after hours trading following Monday's earnings report. Karp said, noting that the q2 revenute was more than the comapny generated in total the year before

Can Palantir's Strong Results Inject Some Fresh Enthusiasm Back Into Its Stock?

The move could point to a rebound for Palantir's stock, which has taken a big hit lately. Could Palantir's strong results be enough to drive a rebound for the software maker's stock? Shares of Palantir (PLTR), which climbed 2% in Monday's regular session, were up nearly 14% in extended trading after the software maker raised its outlook and posted second-quarter earnings that topped analysts' expectations on growing demand for its Artificial Intelligence Platform. Palantir said it now expects $8.15 billion to $8.16 billion in revenue this year, up from $7.65 billion to $7.66 billion previously. The company reported adjusted earnings per share of $0.41 on revenue that nearly doubled year-over-year to $1.93 billion in the second quarter, ahead of estimates compiled by Visible Alpha. CEO Alex Karp said in a letter to shareholders that Palantir's core business in the U.S. "continues to expand at an unrelenting and breakneck pace," and that its commercial segment, which saw domestic sales surge 149% to $764 million, "is on fire." Monday's after-hours action could be a promising signal for the stock, which has taken a hit in recent months amid worries about AI disrupting the software industry, along with some fears that last year's rally left Palantir's stock overvalued. Through Monday's close, the shares were down nearly 30% for the year and roughly 40% off their November highs. Analysts have stayed broadly bullish on Palantir despite this year's slide, with several calling the pullback a buying opportunity, and suggesting growing AI adoption could prove more of a boon than a threat to Palantir. Ahead of Monday's report, four of the six analysts tracked by Visible Alpha held "buy" or equivalent ratings for the shares, compared to two neutral ratings. This article has been updated since it was first published to include Palantir's second-quarter results and reflect more recent stock prices.

Palantir lifts annual revenue forecast on steady demand for AI-powered data analytics

Palantir Technologies increased its annual revenue forecast significantly. Strong government and commercial demand fuels this optimistic outlook for the company. Its artificial intelligence platform attracts businesses seeking advanced technology integration. US government revenue saw substantial growth, while commercial projections also rose. This performance counters claims that enterprise AI does not scale beyond initial projects. Palantir Technologies on Monday raised its annual revenue forecast again, signaling strong government and commercial demand for its data analytics software, sending its shares up 14% in extended trading. Denver-based Palantir has increasingly been marketing military-grade AI tools to businesses through its artificial intelligence platform that helps companies integrate and develop the technology. "Our business is compounding at a rate and scale that we have never before witnessed," Palantir CEO Alex ⁠Karp said ⁠in a letter to shareholders. The company, which enables government and enterprise clients to make decisions using their own data, forecast annual revenue between $8.150 billion and $8.158 billion, up from $7.650 billion to $7.662 billion earlier. "Palantir has been the clearest counterexample to the claim that enterprise AI doesn't scale past pilots, and accelerating growth makes that harder to argue with," Emarketer analyst Jacob Bourne said. Palantir's U.S. government revenue soared 90% to $809 million in the second quarter. Modern warfare and geopolitical uncertainty have prompted governments to ⁠invest in advanced defence technologies such as Palantir's AI-powered battlefield software and Anduril's autonomous drones. Anduril and Palantir are working together to develop software for U.S. President Donald Trump's Golden ⁠Dome antimissile shield initiative, Reuters has reported. It also raised its annual forecast for U.S. commercial revenue to more than $3.424 billion, up from its previous estimate of $3.224 billion. "The core of our business, in the United States, continues to expand at an unrelenting and breakneck pace," Karp said. The company's U.S. business has been particularly tracked as European governments have grown increasingly wary about dependency on American tech platforms, while competition intensifies from AI startups. France's domestic intelligence agency DGSI will replace tools from Palantir in favor of French rival ChapsVision, Prime Minister Sebastien Lecornu's office said in June. The company is also challenging a decision to block its two-year, £50 million ($67.15 million) contract with the London police. Its "accelerated growth in the U.S. market is more important, ⁠more durable, and more likely to drive the name higher," said Ryan Lee, senior vice president of product and strategy at Direxion. Palantir's shares have retreated sharply from their November record high, as investors have worried over the increasing scrutiny of the company's businesses and the still-high valuation. The company's third-quarter revenue forecast of between $2.160 billion and $2.164 billion was above analysts' average estimate of $2 billion, according to data compiled by LSEG. Second-quarter adjusted earnings were 41 cents per share, above estimates of 35 cents, while revenue rose 93% to $1.94 billion, beating expectations of $1.80 billion.

Palantir Soars As Analysts Raise Price Targets After Solid Quarter - Palantir Technologies (NASDAQ:PLTR)

Here are the key analyst takeaways: Check out other analyst stock ratings. Cantor Fitzgerald Palantir reported "another exceptional quarter," with revenue growing 93% year-on-year to $1.94 billion and adjusted earnings of 41 cents per share coming in well ahead of consensus of 30 cents per share, Blakey said in a note. He added that upside in the quarter was driven by: * Accelerating US demand across both Commercial and Government segments * Broadening AIP (artificial intelligence platform) standardization * Continued operating leverage Management announced its largest-ever full-year raise, taking its revenue outlook to $8.150-$8.158 billion, representing around 82% year-on-year growth, the analyst stated. "We continue to believe Palantir remains a leading beneficiary of secular AI growth trends, delivering tangible value for customers, evidenced by industry-leading accelerating growth and profitability," he further wrote. DA Davidson Palantir beat expectations with accelerating revenue growth, driven by "parabolic" US demand for AI solutions, Luria said. The company's results were unprecedented, as revenues beat expectations by around $136 million and revenue growth accelerated to 93% year-on-year from the previous quarter's 85%. Palantir's U.S. business signed 38 of the company's 44 new customers in the quarter. "Palantir has several competitive advantages over all other software companies, which is becoming more pronounced in the era of AI helping the company provide guidance substantially above expectations," Luria wrote. Rosenblatt Securities Palantir beat "our Street-high revenue forecast" of 86% year-on-year growth, McPeake said. Revenue growth of 93% year-on-year was driven by US commercial growth of 149%, he added. The company's adjusted free cash flow grew 115% year-on-year to $1.2 billion, to a free cash flow margin of 63%, the analyst stated. Palantir's enterprise operating system positions the company "to disproportionately benefit from the rollout of AI in businesses and governments worldwide," he further wrote. PLTR Price Action: Shares of Palantir had risen by 29.22% to $162.36 at the time of publication on Tuesday. Image: Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Palantir Is Growing Like Nvidia Without Building AI Models - Palantir Technologies (NASDAQ:PLTR), NVIDIA

Palantir Is Growing Like Nvidia -- Without Joining The AI Spending Race Palantir Technologies Inc. (NASDAQ:PLTR) chose a different path. Rather than building its own AI model or investing heavily in data centers, the company built software designed to work with whichever AI model its customers choose. That means Palantir doesn't necessarily need one AI company to win. As businesses adopt AI across their operations, the company can potentially benefit regardless of whether the underlying technology comes from OpenAI, Anthropic, Google or another provider. Growing Like Nvidia Without Building What Nvidia Builds The strategy is translating into remarkable growth. Unlike Nvidia, however, Palantir isn't selling chips that power AI. Nor is it building the massive computing infrastructure required to train increasingly powerful AI models. Instead, its software helps enterprises connect AI with their own data, workflows and day-to-day operations, regardless of which underlying AI model they use. Billions in Cash Flow, Millions in Capital Spending Palantir's business model also looks very different from much of the AI industry. The company generated $2.1 billion in operating cash flow during the first half of 2026 while spending just $22 million on capital expenditures, or investments in long-term assets such as offices, equipment and infrastructure. That works out to well below 1% of revenue, illustrating how little physical infrastructure Palantir needs to grow compared with companies building AI data centers. For perspective, that capex-to-revenue share stands at about 23% for Microsoft and Alphabet, 35% for Meta and 83% for Oracle Corp (NYSE:ORCL). The contrast underscores a broader shift taking shape across the AI economy. While one group of companies is investing enormous sums to build the technology that powers AI, another is focused on helping businesses actually use it. Why Investors Should Watch Palantir believes that second opportunity could prove just as important. Shyam Sankar, Chief Technology Officer argued during the earnings call that the industry has become too focused on creating more powerful AI while paying less attention to turning that technology into measurable business results. "The market has created far more intelligence than it has converted into value," Sankar said. For investors, that may be the bigger story. Rather than betting on a single AI winner, Palantir has positioned itself to benefit from the broader adoption of AI across enterprises -- regardless of which company ultimately builds the dominant model. Image via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Palantir CEO warns companies may be creating AI rivals

Last month, Satya Nadella sounded the alarm for corporate America by questioning the true cost of enterprise AI. The Microsoft (MSFT) CEO argued that businesses are essentially paying twice for using AI services: once for the intelligence and again for the proprietary knowledge they must give up to obtain it. That covers everything from prompts and corrections to internal workflows, all of which can be included in that hidden second payment. I covered that story, titled "Microsoft CEO adds fuel to Palantir CEO's AI warning," as that fire was originally kindled by Palantir CEO Alex Karp in a fiery CNBC interview. Karp, of course, is no stranger to controversial claims. However, during Palantir's (PLTR) latest earnings call on August 3, he took the argument somewhere even more unsettling, just as the business was celebrating another blockbuster performance. Despite the eye-catching headline numbers, Karp used that moment to raise a much bigger question about who captures the value created by corporate AI spending. John Lamparski/Getty Images Are companies paying AI labs to build their future competitors? Alex Karp just took Satya Nadella's critique of the AI business to another level. During Palantir's Q2 earnings call, Karp argues that the 'second payment' Nadella talked about could eventually transfer part of a company's competitive advantage to an outside AI provider that could replicate, commoditize, or compete with its business. General-purpose models are usually starting points, and over time, interactions produce something much more valuable than the company's original data. For instance, it may include a detailed record of how its best employees reason, make trade-offs, and solve issues. Karp described this provocatively. According to him, enterprises are paying model providers "to migrate your IP, your know-how, and your expertise to their model." So, the operational knowledge that separates one business from another is encoded in the outside provider's broader tech stack. That paints a troubling economic asymmetry. The enterprise is for tokens, supplying context, corrections, and whatnot to improve output. However, the outside AI provider ends up retaining the stronger long-term position, controlling the underlying model, infrastructure, and potentially the intelligence generated through ongoing use. According to Karp, the eventual outcome is a provider building "a competitive business that doesn't require your business or your people." Palantir Chief Revenue Officer Ryan Taylor sharpened the argument further, saying that businesses are "paying to give away their most important secrets." Those secrets could become training material embedded in future models, contributing to the "commoditization of their own businesses." Karp refers to that accumulated advantage as a company's alpha. He believes businesses need to ensure that AI compounds that alpha internally instead of exporting them to a third party. How much has Palantir stock gained post-earnings? Palantir stock jumped almost 15% in after-hours trading on August 3, rising from its regular-session close of $125.65 to $144.45 following its Q2 earnings beat and guidance raise. According to Seeking Alpha, over the past six months, the stock has tanked 21%, trailing the S&P 500's 10% gain over the same period. Year-to-date, things get even uglier, with the stock down 30%. It's important to note, though, that over the years, Palantir stock has been a tremendous wealth creator, rising 570% over a three-year period. How strong was Palantir's quarter, really? Palantir's superb Q2 results showed that the company's growth is accelerating, even as the business gets much bigger. For perspective, after another stellar Q2 showing, Palantir has now sped past top-and-bottom-line estimates in each of the past four quarters. Revenue surged to $1.935 billion, up 93% year over year and 19% sequentially, beating estimates by $130 million. The U.S. business was the primary engine, growing 115% to $1.573 billion and representing 81% of total sales. U.S. commercial revenue led the charge, surging 149% to $764 million, while U.S. government revenue shot up 90% to $809 million. That's an impressive stat, which indicates that Palantir isn't relying on one side of its business to carry the other. Commercial adoption is broadening at a rapid clip, while government demand remains unusually strong. Moreover, commercial total contract value reached $2.337 billion, while U.S. commercial TCV jumped 153% to $2.132 billion, suggesting that revenue growth is driven by future commitments rather than a single exceptionally robust quarter. A stand-out customer metric from the quarter was that revenue from Palantir's top 20 customers jumped 67% to an average of $124 million each, which shows major clients are growing meaningfully after initial deployments. Profitability also strengthened alongside growth. Adjusted operating income reached $1.194 billion, producing a 62% margin, while adjusted free cash flow was $1.22 billion, equalling a 63% margin. That pushed Palantir's Rule of 40 score to 155, which is exceptional even for a premium software business. Palantir's Rule of 40adds its sales growth rate to its adjusted operating margin; anything above 40% is generally considered impressive for a software business. For instance, 48% revenue growth + 46% adjusted operating margin = 94% Rule of 40 score. Additionally, management's guidance implies confidence that the momentum can continue. Palantir bumped its full-year revenue guidance to roughly $8.154 billion, implying 82% growth, lifting its U.S. commercial growth outlook to at least 134%. Q3 sales are expected to reach nearly $2.162 billion, with adjusted operating income near $1.294 billion. There were a few caveats, though, that are worth talking about. Adjusted expenses jumped 37%, stock-based compensation reached $265 million, and adjusted earnings per share got a considerable $0.02 lift from unrealized SpaceX (SPCX) gains. On top of that, gross margins also faced pressure after Palantir absorbed cloud-hosting costs for one government customer. Could sovereign AI become Palantir's biggest investor catalyst? Palantir's solution to the enterprise AI ownership conundrum is what Karp calls "sovereign AI." Put simply, customers retain control over their data, operating logic, security architecture, and model weights. At the same time, they preserve the flexibility to replace one model with another. In that framework, the model effectively becomes more of a component rather than the core of the entire AI system. Karp argues that models are fine-tuned inside a company's own environment, using Palantir's software and Nvidia (NVDA) infrastructure. Moreover, he claims they can outperform frontier models on specific business tasks without compelling customers to surrender the resulting intelligence. "You own the weights, you own the alpha. You own everything," he said. For investors, that is the core of Palantir's argument. If enterprises continue to view dependence on closed AI providers as a competitive risk, spending would likely shift toward private deployments, open-weight models, model-switching tools, and orchestration platforms operating within corporate security boundaries. The value shifts away from the model to the application layer, where Palantir continues to build a meaningful advantage. Moreover, Karp was remarkably direct about what that opportunity entails for shareholders on the earnings call. "For everyone on the sidelines, you got to get off the sidelines," he said. He later told individual investors that Palantir was on its way to becoming a "much, much, much, much larger company." Moreover, Karp said he was pushing the business to grow at a rate that's equal to or above its current U.S. commercial growth rate for the next 18 months. That segment alone has grown by 149% year-over-year. Investors need to treat that carefully and not treat it as formal guidance as of yet. To be fair, for a stock trading at over 80 times non-GAAP forward earnings, even exceptional growth is unlikely to dispel valuation concerns. Nevertheless, if demand for sovereign AI continues to accelerate, Palantir might have more room to grow beyond its already-premium valuation. On the flip side, if growth slows sharply, Karp's own language will naturally raise the market's expectations and leave far less room for execution errors. The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc. This story was originally published August 4, 2026 at 11:33 AM.

Palantir: Companies Give Their 'Most Important Secrets' To AI - Palantir Technologies (NASDAQ:PLTR)

Every prompt employees write, every workflow they automate and every business process they refine can reveal valuable insights about how a company operates. According to Palantir, that information could become just as valuable as the underlying data itself. Palantir's Warning: Your Competitive Edge Could Be at Risk Taylor delivered one of the strongest messages from the earnings call when describing what he considers an unfolding trend across corporate America. "Companies are paying to give away their most important secrets, the very basis for their competitive advantage, ultimately contributing to the commoditization of their own businesses as their secrets become the training data embedded in the foundations of all future models," he said. Palantir argues the issue goes beyond simply protecting company data. It says businesses also risk exposing the expertise, workflows and decision-making processes that make them unique, making control over that information increasingly important as AI adoption grows. That concern is becoming a key selling point for Palantir's software. Taylor said enterprises are increasingly demanding what the company calls "AI sovereignty" -- an approach that allows businesses to retain ownership over the data, logic, actions and security behind their AI systems. As he put it, "An organization's data is its treasure." Why Palantir Says Companies Are Changing Their Approach Chief Executive Officer Alex Karp said businesses are only now beginning to appreciate how much valuable information they may be handing over as they expand their use of AI. During the earnings call, Karp argued that the value isn't limited to the information companies store internally. It also includes the knowledge generated as employees interact with AI systems and refine how work gets done. He said businesses are realizing that this information "is probably more valuable than just the data in my enterprise." Later in the Q&A session, Karp said companies increasingly understand that they are "transferring their data, their prompts, the way they run their business, their expertise, to a third party," adding that customers now want to better understand how they can keep greater control over that information. Why Investors Should Watch For Palantir, this isn't just a philosophical argument. The Miami-based company reported 149% year-over-year growth in U.S. commercial revenue during the second quarter, with management arguing that more businesses are embracing its approach to keeping AI systems -- and the valuable knowledge they generate -- under their own control rather than relying entirely on third-party platforms. Image via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Cantor raises Palantir stock price target to $156 on AI growth By Investing.com

Investing.com - Cantor Fitzgerald raised its price target on Palantir Technologies Inc. shares (NASDAQ:PLTR) to $156 from $138 while maintaining a Neutral rating on the stock. The stock currently trades at $125.65, giving the company a market capitalization of $301 billion. The firm cited growth driven by U.S. Commercial operations, supported by expectations for continued net dollar retention expansion. Both large and smaller new customers are expanding use cases on the platform as Palantir delivers value from tokens. The company's momentum is reflected in its impressive 68% revenue growth over the last twelve months, while maintaining a gross profit margin of 84%. Cantor Fitzgerald noted that Palantir is set to expand operating expenses in the third quarter of 2026 and likely the second half of 2026 while ramping partnerships and go-to-market investment to drive growth. The firm said this introduces incremental execution risk against a backdrop of significant accelerating performance. The firm raised its calendar year 2026 forecasts in line with guidance and increased calendar year 2027 and 2028 estimates given accelerating fundamentals that may prove conservative based on management commentary. Cantor Fitzgerald said it believes Palantir remains a leading beneficiary of secular AI growth trends, delivering tangible value for customers. The new price target represents a premium of 30 times calendar year 2027 estimated revenue and 54 times calendar year 2027 estimated free cash flow. The firm pointed to industry-leading accelerating growth and profitability as evidence of the value Palantir delivers to customers. The stock currently trades at a P/E ratio of 141.52, and InvestingPro analysis indicates the stock is overvalued relative to its Fair Value. Investors can access 13 additional ProTips and comprehensive analysis through Palantir's Pro Research Report, one of 1,400+ available for US equities. In other recent news, Palantir Technologies reported impressive second-quarter 2026 results, surpassing Wall Street expectations. The company announced adjusted earnings of $0.41 per share on revenue of $1.94 billion, exceeding analyst forecasts of $0.34 per share and $1.81 billion. Revenue increased by 93% compared to the previous year, with U.S. commercial growth accelerating to 149%. William Blair reiterated an Outperform rating for Palantir, highlighting the company's strong revenue growth. BofA Securities also maintained a Buy rating, attributing Palantir's success to its effective AI strategy. DA Davidson raised its price target for Palantir shares to $200 from $175, citing the company's robust growth and increased fiscal year 2027 revenue estimates by 7%. These developments reflect Palantir's ongoing momentum in the market. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Why Is Palantir Stock Soaring Tuesday? - Palantir Technologies (NASDAQ:PLTR)

Alex Karp Says 'Sovereign AI' Is Winning -- Palantir Stock Surges 17% The company reported second-quarter revenue of $1.94 billion, topping analyst estimates of $1.80 billion. Adjusted earnings came in at 41 cents per share, ahead of the consensus estimate of 35 cents. Palantir also raised its guidance. The company expects third-quarter revenue of $2.16 billion to $2.164 billion, above estimates of $1.997 billion. The company also raised its full-year 2026 revenue guidance from a range of $7.65 billion to $7.66 billion to a new range of $8.15 billion to $8.16 billion versus estimates of $7.69 billion. Sovereign AI Drives Growth CEO Alex Karp told CNBC the company's momentum reflects growing demand for sovereign AI. He described it as an approach that allows customers to control their data, technology and the value created from AI deployments. Karp said Palantir is focused on helping enterprises and governments own their AI capabilities rather than relying solely on open- or closed-source models. He said the strategy helped drive 93% business growth. U.S. revenue increased 115%, while U.S. commercial revenue climbed nearly 150%. Margins Remain Strong Karp said Palantir continues to scale profitably. He highlighted an adjusted free cash flow margin of 63% and a Rule of 40 score of 155. He added that demand for sovereign AI, combined with the company's products and partnerships across AI infrastructure, should support strong growth over the next 18 months. Karp also criticized AI providers that, in his view, capture customers' intellectual property instead of helping them retain it. He said Palantir's model allows customers to keep the value created through its software. Analysts See Commercial Momentum William Blair analyst Louie DiPalma told CNBC that Palantir continues to post strong commercial growth despite increasing competition from Anthropic and OpenAI. DiPalma said investors are closely tracking U.S. commercial revenue growth and total U.S. commercial booking value. He noted that U.S. commercial revenue grew about 150% year over year, while total commercial booking value rose about 158%, up from 47% in the prior quarter. He said the results suggest Palantir is maintaining momentum even as major AI companies expand their enterprise offerings. DiPalma also said Palantir's AI platform offers customers greater security and control through open-weight models. He also pointed to Palantir's government business, including a large NATO contract for its Maven Smart System. The stock carries a Buy rating with an average price forecast of $187.17. Recent analyst moves include: * Piper Sandler: Overweight (Maintains forecast to $230.00) (Aug. 4) * Rosenblatt: Buy (Maintains forecast to $225.00) (July 30) * Citigroup: Buy (Lowers forecast to $200.00) (July 24) ETF Exposure Because of its large weighting, significant inflows or outflows in these ETFs can lead to automatic buying or selling of Palantir shares. Price Action PLTR Stock Price Activity: Palantir Technologies shares were up 16.60% at $146.51 during premarket trading on Tuesday, according to Benzinga Pro data. Image via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Palantir Q2 2026 slides: 93% revenue surge, AI sovereignty focus By Investing.com

Palantir Technologies (NASDAQ:PLTR) presented its second quarter 2026 business update on August 3, showcasing what the company described as "unprecedented" growth driven by surging demand for sovereign AI capabilities. The presentation revealed revenue of $1.94 billion, representing 93% year-over-year growth, with U.S. commercial revenue accelerating 149% from the prior year period. Shares jumped 12% in after-hours trading to $140.76 following the results, which exceeded analyst expectations on both revenue and earnings. The company reported adjusted earnings per share of $0.41, beating the consensus estimate of $0.34, while revenue came in $130 million above the $1.81 billion forecast. Quarterly Performance Highlights The company's Q2 2026 presentation highlighted exceptional performance across multiple dimensions. As detailed in the quarterly highlights, Palantir achieved a Rule of 40 score of 155%, positioning it at the top of a comparison chart against the 100 largest publicly traded companies by market capitalization. U.S. operations drove the quarter's momentum, with total U.S. revenue reaching $1.57 billion, up 115% year-over-year and 23% sequentially. The U.S. commercial segment led growth at 149% year-over-year to $764 million, while U.S. government revenue increased 90% to $809 million. The company closed 220 deals worth at least $1 million during the quarter, including 98 deals of at least $5 million and 73 deals exceeding $10 million. Total contract value reached $3.37 billion, up 49% year-over-year, with U.S. commercial total contract value hitting a record $2.13 billion, marking 153% growth. Competitive Industry Position Palantir's presentation positioned the company as a leader in balancing growth and profitability among large-cap technology firms. The Rule of 40 comparison chart showed Palantir with 155% year-over-year revenue growth in the most recent quarter, placing it among the fastest-growing companies in the top 100 by market capitalization. The chart illustrates that Palantir exceeded both the "Rule of 120 Frontier" and "Rule of 160 Frontier" benchmarks, with few peers achieving comparable combinations of revenue growth and adjusted operating margin. The company's position reflects what management characterized as a transformational shift in enterprise AI adoption. The presentation tracked the company's Rule of 40 performance over eight quarters, demonstrating consistent improvement from 68% in Q3 2024 to 155% in Q2 2026. Strategic Initiatives: AI Sovereignty A central theme throughout the presentation was "AI Sovereignty," which Palantir defined as enabling organizations to own, protect, and compound their competitive advantages rather than converting them into training data for external AI labs. The company's architectural approach emphasizes three principles: a sovereign AI operating system that runs wherever security requires, a multimodal data plane that activates AI across any storage and compute environment, and interoperability through open standards. This strategy addresses what the company described as a critical market tension: institutions should not have to choose between sovereignty and capability. The presentation highlighted that Palantir's Artificial Intelligence Platform (AIP) allows customers to maintain control over their data and models while accessing frontier AI capabilities. Strategic Partnerships The presentation showcased several high-profile partnerships demonstrating AIP's application across diverse sectors. Kirkland & Ellis LLP, a major law firm, is using the platform to structure decades of institutional knowledge into a proprietary system. Erica Berthou, a member of Kirkland's Global Executive Committee, stated in the presentation: "What used to take days for a lawyer to analyze, discuss, and draft, now happens in minutes." In the nuclear energy sector, Centrus is leveraging AIP to accelerate uranium enrichment capacity expansion at its Piketon facility. The presentation noted that "nearly 100% of the world's uranium enrichment capacity is controlled by foreign governments," positioning this partnership within broader national security objectives. Centrus President and CEO Amir Vexler indicated that "the nearly $300 million in savings we have identified to date are only the beginning." The SAP partnership focuses on transforming enterprise data migration, traditionally a bottleneck in cloud transformations. SAP CEO Christian Klein stated: "Together with Palantir, we are enabling customers to move to the cloud with speed and confidence through complementary capabilities that accelerate innovation across the enterprise." McCarthy, described as one of America's oldest construction companies, is using AIP to create a connected AI operating system that makes 160 years of construction expertise available to field teams in real-time. Customer Success Stories The presentation highlighted customer outcomes from AIPCon 10, an event where clients demonstrated real-world AI applications. The U.S. Department of Agriculture transformed hundreds of fragmented legacy systems into a single governed ontology, resulting in record-breaking farmer sign-ups. Chief Information Officer Sam Berry noted that within 62 minutes of opening, the program broke all prior USDA records for online farmer sign-ups and delivered over $4.4 billion directly to farmers in the program's first five days. Parts Town, a commercial foodservice parts distributor, is using AIP to transform customer support and field service. CEO Bill Gear stated: "The projected value opportunity for our business exceeds 200 basis points of EBITDA margin. That's massive at scale." Detailed Financial Analysis The presentation demonstrated strong momentum in U.S. commercial operations, with customer count growing 35% year-over-year and remaining deal value increasing 124% to $6.24 billion. The segment's total contract value of $2.13 billion represented the highest quarterly figure on record. Profitability metrics showed consistent improvement alongside revenue acceleration. GAAP net income reached $1.06 billion in Q2 2026, up from $327 million in Q2 2025, representing a margin of 55%. The trend line illustrated steady quarterly increases throughout the measurement period. GAAP operating income followed a similar trajectory, reaching $912 million with a 47% margin in Q2 2026, compared to $269 million in the year-ago quarter. The presentation emphasized that the company achieved both GAAP operating income and GAAP net income in each recent quarter while maintaining aggressive investment in product development and talent acquisition. Adjusted operating income reached $1.19 billion with a 62% margin, demonstrating significant operating leverage as the business scaled. The metric increased from $464 million and a 46% margin in Q2 2025. Segment Performance Breaking down U.S. revenue growth, the presentation showed total U.S. revenue more than doubling from $733 million in Q2 2025 to $1.57 billion in Q2 2026, representing 115% year-over-year growth. The U.S. commercial segment led with $764 million in revenue, up 149% from $306 million in the prior year period, while U.S. government revenue grew 90% to $809 million from $426 million. On a global basis, commercial revenue reached $945 million, up 110% year-over-year, while government revenue totaled $990 million, representing 79% growth. Total revenue of $1.94 billion marked 93% year-over-year growth and 19% sequential growth. Customer count trends showed steady expansion, with U.S. commercial customers reaching 653 on a trailing twelve-month basis as of June 30, 2026, up 35% year-over-year. The presentation indicated quarterly customer additions remained consistent, with 6% sequential growth in the most recent quarter. Cash Flow and Balance Sheet Strength The company ended Q2 2026 with $9.2 billion in cash, cash equivalents, and U.S. Treasury securities, with no debt. Cash from operations reached $1.22 billion with a 63% margin, while adjusted free cash flow matched that figure at $1.22 billion, also representing a 63% margin. Both metrics showed substantial improvement from Q2 2025 levels of $539 million and $569 million, respectively. Forward-Looking Statements The presentation outlined guidance for Q3 2026 and the full fiscal year, projecting third-quarter revenue of $2.160 billion to $2.164 billion and adjusted income from operations of $1.292 billion to $1.296 billion. For full year 2026, the company raised its outlook to revenue of $8.150 billion to $8.158 billion, representing approximately 82% year-over-year growth at the midpoint. U.S. commercial revenue is expected to exceed $3.424 billion, representing at least 134% growth. Adjusted income from operations is projected at $4.889 billion to $4.897 billion, while adjusted free cash flow is forecast between $4.5 billion and $4.7 billion. The company indicated it expects to deliver GAAP operating income and GAAP net income in each quarter of 2026 while continuing to invest aggressively in AI platform development, technical hiring, and sovereign AI capabilities. The presentation emphasized that Palantir's growth trajectory reflects what management views as a fundamental market shift toward AI systems that maintain institutional sovereignty while delivering frontier capabilities, positioning the company at the intersection of enterprise transformation and national security priorities. Full presentation: This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Palantir soars 25%: results "out of this world"

Alex Karp called Palantir's quarter "out of this world". And looking at the numbers, it almost seems justified. Q2 group revenue rose 93% y-o-y to $1.94bn, while the market was looking for $1.8bn. Adjusted EPS came in at $0.41, versus $0.35 expected. Its adjusted operating margin was nearly 62%, an especially lofty level for a company whose revenue has nearly doubled in a year. On Wall Street, the stock was up over 25%, at around $160. The surprise mostly comes from the strength of its two US businesses. Commercial revenue surged 149% to $764m. And US government revenue increased 90% to $809m, supported by the modernization of defense systems and a favorable geopolitical backdrop. Where many AI projects are still in the testing phase, Palantir is integrating them directly into customers' operations. Its AIP platform connects models to companies' data and internal processes. The group also points to new use cases in legal services, energy infrastructure, construction, and professional software. Palantir signed 73 contracts worth more than $10m, up 74% from a year earlier. The total value of US commercial contracts signed reached $2.13bn. The group doubled down by raising its annual revenue forecast by about $500m. Expected growth in US commercial revenue moves from 120% to at least 134%. Citi believes that "these results further weaken the bearish case tied to intensifying competition in AI". Mizuho raises its price target from $185 to $215 and says Palantir is now operating in "a category of its own", with an unmatched combination of growth, acceleration, and margin expansion in the software industry. But pessimism has not completely disappeared. Jefferies still says the stock will "underperform", despite lifting its target price from $70 to $80. The firm acknowledges the quarter's exceptional quality, but explains: "we are convinced by the fundamentals, but the setup is becoming more difficult". Growth is expected to slow in H2, due to tougher comparisons. International markets are also the quarter's weak spot. Commercial revenue outside the United States rose only 25%, far below the 149% posted in the US market. Most of all, this quarter does not end the valuation debate. At the current price, Palantir trades at around 180x its most recently reported earnings. Even Citi's $245 target price would still equate to about 64x 2028e earnings.

Palantir CEO Alex Karp Takes a Shot at Silicon Valley Culture, Says Results -- Not 'Steak Dinners' -- Built

Palantir CEO Says Outsider Status Fueled Its AI Success On Monday, speaking during Palantir's second-quarter 2026 earnings, Karp said the company's outsider status created significant challenges during its first 18 years but may now be turning into a long-term advantage. "We know we need the best results because people aren't buying our product because we're swinging the golf club correctly or paying for the steak dinner," Karp said. "They don't even invite us to steak dinners." Karp suggested that Palantir could not rely on the traditional relationship-building tactics often associated with the technology industry. Instead, the company had to prove the value of its software through measurable outcomes for customers. That pressure, he said, shaped Palantir's culture and helped differentiate it from companies that rely on established business playbooks. Alex Karp Says Palantir Is Adjusting to Its New Popularity Karp said being an outsider came with "huge problems" during Palantir's early years. However, he believes the same position could create meaningful benefits over the company's next chapter as demand for AI software grows. "Other people don't like being outsiders," Karp said. "In fact, I'm struggling with our current popularity." Palantir's AI Strategy Centers on Delivering Results Karp's remarks came as Palantir executives argued that the company's approach to AI has positioned it ahead of many traditional software providers. CTO Shyam Sankar said enterprises are increasingly recognizing that the value created by AI extends beyond proprietary data. Companies must also consider who controls the metadata, reasoning processes and operational insights generated as AI systems are deployed. Palantir executives believe its focus on applying AI to complex, real-world problems -- rather than simply following conventional software models -- has become a key competitive advantage. Palantir Q2 2026 Earnings Beat Estimates Palantir reported second-quarter revenue of $1.94 billion and adjusted earnings of 41 cents per share, beating Wall Street estimates of $1.80 billion and 35 cents, respectively. The company generated $1.22 billion in operating cash flow and adjusted free cash flow and ended the quarter with approximately $9.2 billion in cash, cash equivalents and short-term U.S. Treasury securities. For the third quarter, Palantir expects revenue of $2.16 billion to $2.164 billion, above estimates of $1.997 billion. It also raised its full-year 2026 revenue outlook to $8.15 billion to $8.16 billion from $7.65 billion to $7.66 billion, surpassing the $7.69 billion consensus estimate. Price Action: Palantir shares closed Monday's regular session at $125.65, up 2.10%, before surging 14.97% to $144.45 in after-hours trading, according to Benzinga Pro. Benzinga Edge Rankings place Palantir in the 98th percentile for Growth, even as the stock maintains a negative price trend across the short-, medium- and long-term. Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Palantir Raises Its Outlook Again on Surging Demand for Its AI Software

Palantir now expects full-year revenue of $8.150bn to $8.158bn, up from a previous forecast of $7.650bn to $7.662bn. The company also projects Q3 revenue of $2.160bn to $2.164bn, above market expectations. Q2 revenue jumped 93% y-o-y to $1.94bn, while adjusted EPS reached 41 cents, topping analysts' forecasts. The company is benefiting from rising demand from public agencies and businesses for its artificial intelligence and data analytics software. Its AIP, Gotham and Apollo platforms are used for defense and intelligence operations and for managing software deployments. Against a backdrop of geopolitical tensions, governments are stepping up investment in advanced defense technologies, including solutions developed by Palantir and its partners. Palantir also raised its outlook for its US commercial business, now expected to come in above $3.424bn. The company is also working with Anduril on software for the "Golden Dome" missile-defense shield project launched by US President Donald Trump. For CEO Alex Karp, the company is entering an unprecedented growth phase, driven by the rapid adoption of its artificial intelligence solutions across the public and private sectors.

Palantir Posts 'Otherworldly' Q2 Double Beat, Raises Guidance Across All Key Metrics - Palantir Technolog

* Palantir Technologies shares are trending higher. Why are PLTR shares climbing? Palantir Q2 Key Metrics Palantir reported second-quarter revenue of $1.94 billion, beating analyst estimates of $1.80 billion. The AI software company reported adjusted earnings of 41 cents per share for the quarter, beating estimates of 35 cents per share, according to Benzinga Pro. Total revenue was up 93% year-over-year in the quarter as U.S. revenue grew 115% year-over-year to $1.57 billion. U.S. Commercial revenue increased 149% year-over-year to $764 million and U.S. Government revenue jumped 90% year-over-year to $809 million. Palantir noted that its Rule of 40 score is now at 155%. "Demand for AI sovereignty has now been unleashed. And Palantir is the only company that has demonstrated it can transform tokens into actual economic value," said Alex Karp, co-founder and CEO of Palantir. "This quarter was otherworldly: our U.S. commercial revenue grew 149% year-over-year, our overall revenue grew 93% year-over-year, and our Rule of 40 score climbed to 155%. The sovereign AI revolution makes us very optimistic about the future." Palantir said it closed 220 deals worth over $1 million during the quarter, 98 deals worth at least $5 million and 73 deals worth at least $10 million. Palantir generated $1.22 billion in cash from operations and $1.22 billion in adjusted free cash flow in the quarter. Palantir ended the period with approximately $9.2 billion of cash, cash equivalents and short-term U.S. Treasury securities. Palantir expects third-quarter revenue to be in the range of $2.16 billion to $2.164 billion, versus estimates of $1.997 billion. The company raised its full-year 2026 revenue guidance from a range of $7.65 billion to $7.66 billion to a new range of $8.15 billion to $8.16 billion versus estimates of $7.69 billion. Palantir also guided for full-year U.S. Commercial revenue growth of at least 134%, up from prior guidance of at least 120%, and adjusted free cash flow of $4.5 billion to $4.7 billion, up from prior guidance of $4.2 billion to $4.4 billion. "Every organization in the world is awakening to the risks of handing the creators of the language models the keys to their institutions, of letting the models loose within their homes. The demand from our partners is clear," Karp said in a letter to shareholders. Palantir's management team will discuss the quarter on an earnings call scheduled for 5 p.m. ET. PLTR Shares Rise After The Bell PLTR Price Action: Palantir shares were up 7.71% in after-hours Monday, trading at $135.32 at the time of publication, according to Benzinga Pro. Image: Shutterstock.com Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Palantir raises annual revenue forecast on strong demand from US government, commercial customers

Aug 3 (Reuters) - Palantir Technologies on Monday raised its annual revenue forecast again, signaling strong demand for its data analytics software from government and commercial clients. Shares of the company rose 8% in extending trading. Palantir now expects annual revenue between $8.150 billion and $8.158 billion, up from its prior forecast of $7.650 billion to $7.662 billion. "Our business is compounding at a rate and scale that we have never before witnessed," CEO Alex Karp said in a letter to shareholders. Modern warfare and geopolitical uncertainty have forced governments to invest in advanced defense technologies such as Palantir's AI-powered battlefield software and Anduril's autonomous drones. Founded in 2003, Palantir offers tools including its Artificial Intelligence Platform (AIP) for deploying AI applications, Gotham for defense and intelligence operations, and Apollo for managing software deployments, helping government and enterprise clients make decisions using their own data. Anduril and Palantir are working together to develop software for U.S. President Donald Trump's Golden Dome antimissile shield initiative, several media outlets including Reuters reported earlier this year. Palantir also raised its forecast for U.S. commercial revenue to be more than $3.424 billion, from $3.224 billion earlier. The outlook for third-quarter revenue of between $2.160 billion and $2.164 billion was above analysts' average estimate of $2 billion, according to data compiled by LSEG. The company reported adjusted earnings per share of 41 cents in the second quarter, beating estimates of 35 cents. Revenue rose 93% to $1.94 billion, exceeding estimates of $1.80 billion. (Reporting by Jaspreet Singh in Bengaluru; Editing by Sriraj Kalluvila)

Palantir Technologies Stock Is Gaining Monday: What's Going On? - Palantir Technologies (NASDAQ:PLTR)

Palantir is scheduled to report second-quarter results after the market closes Monday, with investors closely watching whether the AI software company can sustain its rapid growth and justify its premium valuation. The broader market also provided support, with Nasdaq futures rising 0.30% and S&P 500 futures gaining 0.36%. NHS Data Platform Faces Fresh Scrutiny Palantir is also facing renewed scrutiny over its NHS England data-platform contract after the U.K. health service moved to revise how it measures the platform's impact, raising fresh questions about its effectiveness. NHS England plans to change how it evaluates the Federated Data Platform after staff raised concerns about flaws in the analysis, the Financial Times reported on Monday, citing emails. The changes will affect two key claims tied to the Palantir-built platform: that hospitals using the system delivered 110,000 additional operations and that discharge delays fell 15%. An NHS England official questioned the baseline used to assess the platform's performance, saying the method could be distorted by seasonal patterns. Another official later told colleagues that the adjusted baseline method would appear in the next round of published figures. Effectiveness Claims Face Scrutiny Former NHS England head of operational research and evaluation Charles Tallack said the FOI findings raise serious questions about the health service's analytical culture. He said NHS England must ensure its published analysis follows government guidance to maintain trust in its decisions and claims. The discharge-delay data has already faced criticism. The Financial Times identified errors in an underlying dataset, while Health Foundation analysis found no noticeable improvement in discharge performance at hospitals using the patient-tracking tool. NHS England said debate, challenge and ongoing review form part of its analytical practice. It said it is making a small change to baseline statistics for NHS organizations that have used a platform product for less than 12 months. Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $183.27. Recent analyst moves include: * Rosenblatt: Buy (Maintains Forecast to $225.00) (July 30) * Citigroup: Buy (Lowers Forecast to $200.00) (July 24) * DA Davidson: Buy (Maintains Forecast to $175.00) (July 17) Top ETF Exposure Significance: Because PLTR carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock. Price Action PLTR Stock Price Activity: Palantir Technologies shares were up 2.20% at $125.77 during premarket trading on Monday, according to Benzinga Pro data. Photo via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.