Palantir Technologies Shines with Record Q4 Earnings, Stock Soars 8%
Palantir Technologies delivered a performance that CEO Alex Karp described as “one of the truly iconic performances in the history of corporate performance” on Monday. The company reported fourth-quarter results that significantly surpassed analyst expectations, causing shares to surge nearly 8% in after-hours trading.
The AI software company reported a fourth-quarter revenue of $1.41 billion, which exceeded analyst estimates of $1.33 billion. This represents a year-over-year growth of 70%. The adjusted earnings per share were $0.25, surpassing the $0.23 consensus estimate.
U.S. revenue saw an impressive 93% year-over-year increase to $1.08 billion. U.S. Commercial revenue surged 137% to $507 million. The company’s customer count grew 34% year-over-year, while its Rule of 40 score—a key metric combining revenue growth and profit margins—reached an extraordinary 127%.
Looking ahead to 2026, Palantir forecasted a full-year revenue between $7.18 billion and $7.2 billion. This implies approximately 60% growth and comfortably beats consensus expectations of $6.21 billion. For the current quarter, the company projected sales between $1.53 billion to $1.54 billion, which is again above analyst estimates.
“We are at the outset, the very beginning, of a generational project,” Karp wrote in a letter to shareholders. The company also guided for full-year U.S. Commercial revenue growth of at least 115% and adjusted free cash flow of approximately $3.93 billion to $4.13 billion.
The strong results come as a relief for investors. Palantir shares had tumbled roughly 29% from their November peak and were down more than 15% to start 2026 before the earnings announcement.
Source: Fortune