Live Reactions: Palantir (Nasdaq: PLTR) Sinks 14% After Earnings
Briefly

Palantir Technologies faced a sharp 14% decline in its stock price shortly after an earnings release, despite reporting sales growth above expectations and increasing annual targets. While Wall Street banks praised the earnings, there were significant concerns about international growth lagging behind robust U.S. commercial growth. This price drop can be attributed to Palantir's high price-to-sales ratio, which was significantly higher than other software stocks, leading investors to reevaluate their expectations post-earnings release.
Despite delivering impressive sales growth and raising targets, Palantir's stock fell significantly due to already high market expectations and valuation concerns.
While Palantir's earnings exceeded Wall Street expectations, its elevated price-to-sales ratio compared to peers led to a steep decline in its stock price.
Read at 24/7 Wall St.
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