Palantir Technologies (NASDAQ:PLTR) Shares Gap Up Following Strong Earnings

Key Points

• Palantir Technologies shares opened at $171.81 following a stronger than expected earnings report, with earnings per share of $0.16 beating analysts' estimates of $0.14.
• The company reported revenues of $1 billion for the quarter, significantly surpassing the consensus estimate of $939.29 million and representing a 48% increase compared to the same quarter last year.
• Despite the positive earnings, analysts remain mixed on the stock, with a consensus rating of "Hold" and an average price target of $108.65.

Palantir Technologies Inc. (NASDAQ:PLTR - Get Free Report)'s share price gapped up before the market opened on Tuesday following a stronger than expected earnings report. The stock had previously closed at $160.66, but opened at $171.81. Palantir Technologies shares last traded at $174.67, with a volume of 28,900,095 shares traded.

The company reported $0.16 earnings per share for the quarter, beating analysts' consensus estimates of $0.14 by $0.02. Palantir Technologies had a return on equity of 6.55% and a net margin of 18.32%. The company had revenue of $1 billion for the quarter, compared to the consensus estimate of $939.29 million. During the same quarter last year, the company earned $0.09 earnings per share. The firm's revenue for the quarter was up 48.0% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on PLTR. Morgan Stanley raised their price objective on Palantir Technologies from $90.00 to $98.00 and gave the company an "equal weight" rating in a research report on Tuesday, May 6th. Wedbush set a $160.00 price objective on Palantir Technologies in a research report on Thursday, July 10th. Piper Sandler reaffirmed an "overweight" rating and set a $170.00 price objective on shares of Palantir Technologies in a research report on Monday. DA Davidson raised their price target on Palantir Technologies from $100.00 to $115.00 and gave the stock a "neutral" rating in a report on Tuesday, May 6th. Finally, UBS Group raised their price target on Palantir Technologies from $110.00 to $165.00 and gave the stock a "neutral" rating in a report on Tuesday. Three equities research analysts have rated the stock with a sell rating, seventeen have given a hold rating and four have given a buy rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $108.65.

Insider Transactions at Palantir Technologies

In other news, insider Shyam Sankar sold 405,000 shares of the firm's stock in a transaction dated Tuesday, June 10th. The stock was sold at an average price of $132.08, for a total value of $53,492,400.00. Following the completion of the transaction, the insider directly owned 702,786 shares in the company, valued at $92,823,974.88. This trade represents a 36.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider David A. Glazer sold 30,812 shares of the firm's stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $126.39, for a total value of $3,894,328.68. Following the completion of the transaction, the insider owned 495,497 shares of the company's stock, valued at approximately $62,625,865.83. The trade was a 5.85% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 1,485,632 shares of company stock valued at $191,222,623. 12.93% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of PLTR. Mechanics Financial Corp purchased a new position in Palantir Technologies during the first quarter valued at approximately $25,000. Signature Resources Capital Management LLC purchased a new position in Palantir Technologies during the second quarter valued at approximately $25,000. Wealth Preservation Advisors LLC purchased a new position in Palantir Technologies during the first quarter valued at approximately $27,000. 1248 Management LLC purchased a new position in Palantir Technologies during the first quarter valued at approximately $27,000. Finally, Briaud Financial Planning Inc purchased a new stake in shares of Palantir Technologies in the second quarter valued at approximately $27,000. 45.65% of the stock is currently owned by hedge funds and other institutional investors.

Palantir Technologies Stock Up 8.4%

The stock has a 50-day moving average price of $141.12 and a 200 day moving average price of $113.19. The firm has a market capitalization of $411.07 billion, a PE ratio of 757.50, a PEG ratio of 13.15 and a beta of 2.60.

Palantir Technologies Company Profile

Palantir Technologies, Inc engages in the business of building and deploying software platforms that serve as the central operating systems for its customers. It operates under the Commercial and Government segments. The Commercial segment focuses on customers working in non-government industries. The Government segment is involved in providing services to customers that are the United States government and non-United States government agencies.

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