So Palantir just dropped another monster earnings report, and what does Wall Street do? Panic sells. Classic.
Let me break this down for you because the numbers are actually pretty wild. Palantir – you know, the company named after those crystal balls from Lord of the Rings that let you spy on stuff – just posted some seriously impressive Q3 results.
We’re talking 204 deals worth at least $1 million, 91 deals over $5 million, and 53 deals north of $10 million. Total contract value? A record $2.76 billion – up 151% year-over-year. That’s not a typo.
Revenue jumped 63% to $1.18 billion, and adjusted earnings more than doubled to $528.71 million. They even raised their full-year guidance because, apparently, crushing expectations once wasn’t enough.
So naturally, the stock dropped 14%. Because that makes total sense, right?
Why the Market Had a Meltdown
Here’s the thing – some investors took profits (fair enough, the stock was up 170% this year), while others got spooked by news that Michael Burry, the guy who called the 2008 housing crash, took out put positions against both Palantir and NVIDIA.
But here’s my hot take: Burry might be a housing legend, but AI isn’t his wheelhouse. This isn’t 2008 subprime mortgages we’re talking about – it’s a completely different game with actual, tangible results backing up the hype.
This Isn’t 1999 (Thank God)
Remember the dot-com bubble? Companies with zero revenue were worth billions because they had “.com” in their name. Wild times.
Today’s AI boom is different. Companies like Palantir, NVIDIA, and Microsoft aren’t just burning cash and hoping for the best – they’re printing money while revolutionizing entire industries. Palantir’s AI platforms are helping governments and corporations make sense of massive data sets, and the results speak for themselves.
Sure, valuations are frothy. But when you’re growing earnings at triple-digit rates and have Fortune 500 companies throwing money at you, maybe that’s justified?
The Real Story
While everyone’s debating whether this is a bubble, the AI revolution is quietly reshaping the global economy. We’re not just talking about chatbots and fancy algorithms – this is productivity gains, efficiency improvements, and margin expansion across every major industry.
Palantir sits right in the middle of this transformation, turning raw data into actionable intelligence for some of the world’s most important organizations. Their AA-rating from quantitative analysis systems suggests the fundamentals are rock solid, even if the stock price gets a bit dramatic sometimes.
The bottom line? While traders panic over short-term volatility, the companies driving the AI revolution continue to deliver the goods where it counts. And honestly, that’s probably what matters most in the long run.
Sometimes the market gets it wrong in the short term. But the numbers don’t lie – and Palantir’s numbers are pretty hard to argue with.