The stock of Palantir Technologies (PLTR) is up 20% after the data analytics software company reported fourth-quarter 2024 financial results that beat Wall Street estimates.
The Denver, Colorado-based company announced earnings per share (EPS) of $0.14 U.S., which was ahead of the consensus expectation of $0.11 U.S.
Revenue in the final quarter of last year totaled $828 million U.S., which beat the $776 million U.S. that was expected on Wall Street. Sales were up 36% from a year earlier.
Palantir is a major provider of software and technology services to U.S. government agencies, notably the U.S. Department of Defence.
The company’s chief executive officer (CEO) Alex Karp said the company’s continued growth is due largely to its use of artificial intelligence (AI).
Palantir said its U.S. commercial revenue grew 64% from a year ago to $214 million U.S., while revenues from American government work increased 45% year-over-year to $343 million U.S.
Along with the fourth-quarter results, Palantir also offered better-than-expected forward guidance.
The company said that it expects revenue of $858 million U.S. to $862 million U.S. for the current first quarter of 2025, ahead of Wall Street estimates that called for $799 million U.S.
For all of this year, Palantir forecast sales of $3.74 billion U.S. to $3.76 billion U.S., topping the $3.52 billion U.S. average estimate among analysts.
The company added that it expects U.S. commercial sales to grow at least 54% to about $1.08 billion U.S. in 2025.
“We are still in the earliest stages, the beginning of the first act of a revolution that will play out over years and decades,” said Karp in Palantir’s earnings statement.
Prior to today (Feb. 4), the stock of Palantir rose 400% over the past 12 months to trade at $83.74 U.S. per share. The company joined the S&P 500 and Nasdaq 100 indices last year.
