Denver-based Palantir, co-founded by billionaire Peter Thiel, is best known for its work with US military and intelligence agencies, while also selling its data analysis tools to governments and commercial customers. The company has recently ridden a wave of AI enthusiasm, sending its stock soaring - and worrying some investors. Recently, shares were trading at at more than 200 times estimated earnings, making it the priciest in the Nasdaq 100 Index by this metric.
Palantir Technologies Inc dropped more than 8% in late trading Monday after its results failed to live up to investors' loftiest expectations for a company whose stock has led the S&P 500 in gains this year.
The company described rising demand for artificial intelligence software as a "ravenous whirlwind," and bumped its 2025 revenue forecast to about US$3.9 billion from about US$3.75 billion. That represents growth of 36% from a year ago.
