Shares of Palantir Technologies (PLTR +10.32%) rose nearly 40% last week after the data analytics leader reported stunning artificial intelligence (AI)-fueled growth metrics.
Image source: The Motley Fool.
Palantir is expanding at a blistering pace
Palantir's second-quarter revenue soared 93% year over year to $1.9 billion. The gains were driven by a 90% jump in U.S. government revenue to $809 million and a 149% surge in U.S. commercial revenue to $764 million.
"Such an achievement would be cause for astonishment in any business; for one of our size, scale, and consequence, it is simply staggering," CEO Alex Karp said.
NASDAQ: PLTR
Key Data Points
Karp said that Palantir serves as a safer alternative to working directly with AI model developers such as OpenAI and Anthropic.
"Our customers trust us to provide them with maximal control over their operations, data, and decisions," Karp said. "Their competitive advantage should never become the training data for future models."
All told, Palantir's adjusted operating income increased 62% to $1.2 billion. And its adjusted earnings per share checked in at $0.41, easily surpassing Wall Street's estimates of $0.35.
This AI-fueled growth story is just getting started
These sterling results prompted Palantir to lift its full-year revenue target to nearly $8.2 billion, driven by U.S. commercial revenue growth of at least 134%. Management also projects adjusted operating income of roughly $4.9 billion in 2026.
"While our U.S. commercial business is on fire, we believe it is nonetheless just nascent," Karp said.
