Palantir shares rose nearly 10 percent in after-hours trading this week following strong fiscal second-quarter results. The company reported adjusted earnings of $0.41 per share, which topped analyst expectations of $0.35. Revenue for the period reached $1.94 billion, exceeding the $1.8 billion projection.
Driving these results is a massive expansion in the firm’s United States commercial business. CEO Alex Karp noted that U.S. commercial revenue grew 149 percent over the previous year, while overall revenue increased 93 percent. The company also saw significant momentum in its government sector, with federal revenue growing 90 percent year over year.
Looking ahead, Palantir raised its full-year revenue guidance to $8.16 billion. This is a significant jump from prior estimates of roughly $7.65 billion. Leadership cited the ongoing sovereign AI revolution as a primary factor for the company's long-term optimism.
This growth follows a challenging year for the stock, which remains down over 30 percent year-to-date due to earlier sector-wide volatility. However, the company’s recent designation of the Maven Smart System as a Pentagon program of record secures a long-term role in military AI projects. Analysts remain largely positive on the firm, with 22 buy ratings currently tracking the company's progress.