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Palantir posts 85% revenue jump and strong margins, prompting rating upgrade to neutral.

Analyst Insights
11 May 2026
Seeking Alpha
View Source
Bullish
pluang ai news

Palantir Technologies reported an 85% year-over-year revenue increase driven by AI growth, with a 46% GAAP operating margin and 82% incremental margin indicating strong profitability and operating leverage. Management projects $1.8 billion in next quarter revenue, up 80% YoY, and $7.662 billion for the full year, supported by new customer additions. Despite a high 43x sales multiple, the valuation is justified by expected 40%+ revenue growth and 65% long-term net margins, leading to a rating upgrade to neutral. This highlights Palantir's strong growth potential and sustainable profitability in a challenging software market.

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