Palantir Technologies Inc (NYSE: PLTR) experienced a downturn in early trading on Tuesday, despite delivering robust second-quarter results. The earnings season has brought in a flurry of excitement, and various analysts have shared their insights from the earnings release.
Brian Gesuale, an analyst at Raymond James, remains optimistic with an Outperform rating, and he has increased the price target to $22. Meanwhile, Gabriela Borges from Goldman Sachs maintains a Neutral rating and a $11 price target. Rishi Jaluria of RBC Capital Markets, on the other hand, reaffirms an Underperform rating with a price target of $5. Daniel Ives at Wedbush keeps the Outperform rating intact with a price target of $25.
According to Raymond James, Palantir’s second-quarter results were “solid,” coupled with a raised guidance and a $1 billion buyback program. Gesuale noted that the company is gaining momentum in the Artificial Intelligence Platform (AIP), exceeding their previous projections with over 100 organizations and active discussions with 300 more.
Goldman Sachs emphasized that Palantir’s guidance points to accelerated revenue growth in the upcoming quarters. The AIP is drawing substantial client interest, with 100+ organizations and over 5,000 monthly active users showing 50% month-over-month growth.
RBC Capital Markets pointed out a deceleration in Q2 revenue growth of around 500 bps, aligned with consensus estimates. Jaluria expressed concern about the revenue deceleration in both the Commercial and Government sectors, citing unimpressive leading indicators.
Wedbush highlighted a strong performance in June, particularly the traction generated by AIP, contributing to a nearly 38% increase in overall customer count year over year. Ives labeled AIP as a game-changer and praised Palantir’s efforts in expanding into the commercial space while maintaining its government presence.
Price-wise, Palantir Technologies’ shares had surged by 8.59% to $16.44 at the time of the publication on Tuesday.
