Palantir stocks surged 22.4% in extended trading on Monday (Tuesday AEDT) after the software company reported fourth-quarter earnings and revenue that exceeded Wall Street’s expectations.
Palantir reported adjusted earnings per share of 14 cents, beating the expected 11 cents, while revenue reached US$827.5 million, surpassing the forecasted $775.8 million.
The company also provided strong guidance, projecting first-quarter revenue between $858 million and $862 million.
For the full year, Palantir forecast revenues of $3.74 billion to $3.76 billion.
Palantir, a key provider of software and technology services to defence agencies, has seen significant growth due to its artificial intelligence capabilities. CEO Alex Karp attributed the company’s success to its strategic AI adoption.
“Our business results continue to astound, demonstrating our deepening position at the centre of the AI revolution,” Karp said in the earnings release. “Our early insights surrounding the commoditisation of large language models have evolved from theory to fact.”
Revenue climbed 36% from $608.4 million a year earlier, while full-year revenues rose 29% to $2.87 billion.
Karp wrote in a letter to shareholders, “The momentum we are seeing across sectors, both commercial and government, is unlike anything that has come before.”
At the time of writing, Palantir Technologies (NASDAQ: PLTR) stock was trading at US$102.5, up 22.4% from Monday's close of $83.74. The stock reached a day low of $78.47 and a day high of $84.25. Palantir's market cap stands at $190.76 billion.
