Okay, so remember when everyone was saying the AI boom might be cooling off? Yeah, well, Palantir just walked into the room and said “hold my beer.”
The data analytics company (you know, the one that sounds like it’s straight out of Lord of the Rings) just posted some absolutely bonkers earnings numbers that basically scream “AI isn’t going anywhere, folks.”
Let’s talk numbers, because they’re wild:
Revenue jumped 48% year-over-year to just over $1 billion. That’s not just growth – that’s the fastest growth rate in the company’s history. And here’s the kicker: management is calling for nearly 50% growth next quarter. On a billion-dollar base. That’s like watching someone bench press 300 pounds and then casually adding another plate.
But wait, there’s more (and I promise this isn’t an infomercial). Operating income shot up 80%. Eighty percent! While most companies are burning cash to grow, Palantir is basically printing money while scaling up.
So what’s actually happening here?
Simple: AI isn’t just a tech toy anymore. It’s becoming as essential as your morning coffee. Palantir closed 157 deals worth over $1 million each. Nearly 100 of those were worth more than $5 million. Their top 20 customers are now averaging $75 million per year – a 30% jump from last year.
And the results? Chef’s kiss. Citibank went from taking nine days to onboard new clients to doing it in seconds. Seconds! Nebraska Medicine increased their discharge lounge usage by 2,100% (basically like adding a whole new hospital wing without the construction headaches). The U.S. Army just handed them a 10-year, $10 billion contract to modernize military infrastructure.
Here’s why this matters for your portfolio:
This isn’t just about one company having a good quarter. Palantir is basically the canary in the coal mine – except instead of warning about danger, it’s singing about opportunity. When a company can grow this fast while actually making money (revolutionary concept, I know), it signals that we’re still in the early innings of the AI transformation.
Think about it: we went from dial-up internet to smartphones in about 15 years. The AI revolution is moving even faster, and we’re watching companies like Amazon deploy a million robots in their warehouses. This isn’t science fiction – it’s Tuesday.
The bottom line?
While everyone’s debating whether AI stocks are overvalued, companies are quietly integrating AI into everything from fraud detection to military operations. Palantir’s numbers suggest we’re not near the peak – we’re still climbing the mountain.
Sure, not every AI stock will be a winner (looking at you, random crypto-AI hybrid companies). But when a company can deliver 48% revenue growth and 80% profit growth at scale, it’s worth paying attention.
The AI boom isn’t slowing down. If anything, it’s just getting warmed up. And your portfolio might want to take notes.