$PLTR · Palantir Technologies Inc.
Palantir filed its 10-Q for the quarter ended September 30, 2026. Revenue hit $2.313B, up 95.9% year-over-year, with commercial revenue growing 113% and government 81%. Net income attributable to common stockholders was $1.128B ($0.44 diluted EPS), compared to $475.6M ($0.18) a year ago. Operating margin reached 46.9%, and the company holds $10.56B in cash and marketable securities.
- Revenue: $2.313B (+95.9% YoY), with commercial revenue up 113% to $1.17B and government up 81% to $1.15B.
- Diluted EPS: $0.44 vs $0.18 a year ago; net income attributable to common stockholders: $1.128B.
- Gross margin: 83.4%; operating margin: 46.9%; operating income of $1.085B vs $393M in Q3 2025.
- Cash and marketable securities: $10.56B; operating cash flow for nine months: $3.32B.
- Stock-based compensation: $319M in Q3, $786M for nine months — up from $172M and $488M respectively.
Extended-hours last trade at $164.91, down 7.53% from the regular-session close of $178.34. The selloff suggests the market is pricing in decelerating growth — Q3's 96% YoY compares against easier comps, and the $410B market cap leaves zero room for any growth-rate moderation.
Palantir's 96% revenue growth and 46.9% operating margin are extraordinary, but the 7.5% after-hours selloff signals that even elite numbers can't satisfy a $410B valuation.
Palantir's 96% YoY growth and 83.4% gross margin set the pace for enterprise AI software, but at ~70x annualized revenue the valuation embeds perfection. Peer AI-software names face similar "growth vs. multiple" tension.
Revenue concentration risk: U.S. government revenue was $953M of $1.15B total government revenue in Q3. A shift in federal spending priorities could disproportionately impact results. Stock-based compensation remains elevated at $786M for nine months, diluting shareholders.