Palantir Stock Is Trending Today: What's Going On?

Palantir Technologies Inc PLTR shares are trending on Monday ahead of earnings after the bell. Here’s a look at what you need to know.

What To Know: Palantir stock is hovering near all-time highs in early trading Monday with earnings for the first quarter due after the market close. The stock touched all-time highs in overnight trading on the Robinhood platform and has been trending across social sites in anticipation of the report.

Analysts expect Palantir to report first-quarter earnings of 13 cents per share on revenue of $862.83 million, according to estimates from Benzinga Pro.

In the first quarter of 2024, Palantir reported earnings of 8 cents per share, in line with analyst estimates. The company showed incremental EPS improvement of 1 cent per share in the second and third quarters before reporting a jump to 14 cents per share in the company’s most recent report from January.

“We are still in the earliest stages, the beginning of the first act, of a revolution that will play out over years and decades,” Palantir CEO Alex Karp said in a letter to shareholders following the fourth-quarter print.

The company’s strong earnings beat last quarter was complemented by U.S. revenue growth of 52% year-over-year and customer growth of 43% after the company closed 129 deals worth over $1 million and 58 deals worth at least $5 million during the three-month period.

The deals kept coming in the current quarter as the company announced a new partnership with NATO Allied Command Operations (ACO) for its Maven Smart System and an agreement to provide Tactical Intelligence Targeting Access Node (TITAN) ground station systems to the U.S. Army.

"The business we have built has now developed its own internal momentum and strength, its own interior life and forms of untamed organic growth, with the output that we are seeing far surpassing what we are investing," Karp said last quarter.

Wedbush’s Dan Ives noted that he expects “good news” out of Palantir after the bell on Monday, calling the Karp-led company the “Messi of AI.”

The Wedbush analyst in April said that Palantir continues to generate "unprecedented" traction for its entire portfolio of products across both government and commercial markets.

Other analyst firms are a bit more cautious given the stock’s incredible surge over the last year with Morgan Stanley and DA Davidson both cutting price targets ahead of earnings. RBC Capital analysts also reiterated Underperform with a price target of $40 last week.

Palantir remains popular among retail investors with the stock seeing increased mentions across several social platforms in recent weeks. It was among the top-trending tickers on Stocktwits at the time of writing and was also seeing increased mentions on Reddit’s r/WallStreetBets. Palantir was also among the top 10 most-searched tickers on Benzinga Pro in April.

Palantir issued guidance last quarter for Monday’s report including revenue expectations of $858 million to $862 million and adjusted income from operations of $354 million to $358 million. The company anticipates full-year 2025 revenue of $3.74 billion to $3.76 billion, with U.S. commercial revenue growth of at least 54%.

Palantir has beat analyst estimates on the top and bottom lines in three straight quarters heading into Monday’s report, per Benzinga Pro.

PLTR Price Action: Palantir shares were down 0.27% at $123.92 at the time of publication Monday. The stock is up approximately 64% on a year-to-date basis, according to Benzinga Pro.

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Photo: Sundry Photography/Shutterstock.