Palantir Shares Fell Over 19% After Mixed Earnings Reported
May 9, 2022 By MarketDepth
Palantir Technologies (NYSE: PLTR) shares fell over 19% Monday morning after it reported mixed first-quarter earnings and partly missed analysts expectations. Moreover, the company forecasts lower-than-anticipated second-quarter revenue, pointing to slowing sales growth.
The American software company reported earnings of USD0.02 per share, compared to the expected USD0.04 a share. Revenue amounted to USD446 Million, higher than analysts anticipated USD443 Million.
Potential for Government Contracts
The company, which is known to work with the U.S. government, said it anticipates a “wide range” of potential upside to the opportunities arising from “developing geopolitical events”, with the Russian/Ukraine war that are thought to increase defense spending by officials. Nevertheless, its slowing revenue growth linked to government business, did raise concerns.
Palantir expects the full year 2022 to reflect an adjusted operating margin of 27%. Meanwhile, it predicts annual revenue growth of 30% or more through 2025.