Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which m
Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which m
In trading on Monday, shares of Simply Good Foods Company (Symbol: SMPL) crossed below their 200 day moving average of $37.11, changing hands as low as $36.98 per share. Simply Good Foods Company shares are currently trading off about 1.9% on the day. The chart below shows th
Investors in Fastenal Co. (Symbol: FAST) saw new options begin trading today, for the June 2025 expiration. One of the key inputs that goes into the price an option buyer is willing to pay, is the time value, so with 501 days until expiration the newly trading contracts repres
Investors in Cadence Design Systems Inc (Symbol: CDNS) saw new options begin trading today, for the July 19th expiration. One of the key data points that goes into the price an option buyer is willing to pay, is the time value, so with 165 days until expiration the newly tradi
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Palantir Technologies (
NYSE:PLTR
) is set to release its fourth quarter 2023 results on February 5, after the market closes. The strong demand for the company's artificial intelligence (AI) platform from government and commercial customers could have positively influenced its quarterly performance.
The software company specializes in data analysis and intelligence tools. It serves government and commercial clients with its data integration and analytics platforms.
PLTR – Q4 Expectations
Analysts expect
revenue to increase by 18.5% from the year-ago quarter to $602.88 million. A rising commercial customer base, fueled by strong demand for its AI offerings, likely contributed to its topline growth. Moreover, expansion efforts in the healthcare and defense sectors are anticipated to boost revenue within its government business.
Meanwhile, analysts expect the company to report
earnings of $0.08 per share in Q4 compared with $0.04 per share reported in the prior-year period.
Analysts’ Ratings
Ahead of the Q4 earnings release, four analysts rated the stock a Sell while one assigned a Hold.
Citi analyst Tyler Radke reiterated a Sell rating on PLTR stock. The analyst anticipates that subdued demand in the government business segment might have offset strength in U.S. commercial business in the to-be-reported quarter.
Another analyst,
Brent Thill from Jefferies, also gave a Sell rating to the stock. The analyst is skeptical about the revenue growth in the Commercial segment.
What is the Price Target for Palantir?
It is worth mentioning that PLTR stock has jumped nearly 106% in the past year. Moreover, the stock outperformed the tech-heavy Nasdaq 100 Index (
NDX
) rally of about 42% in one year.
Given the recent rally in Palantir stock, it has a Moderate Buy consensus rating on TipRanks, reflecting two Buy, one Hold, and five Sell recommendations.
Analysts’ average PLTR stock price target of $12.20 implies a 28.32% downside potential from current levels.
Insights from Options Trading Activity
Investors should note that
options traders are pricing in a +/- 13.63% move in PLTR stock on earnings, higher than the previous quarter’s earnings-related move of 5.12%.
The anticipated move is determined by computing the at-the-money straddle of the options closest to the expiration after the earnings announcement.
Learn more about TipRanks’ Options tool here
Bottom Line
Palantir's robust position in extensive language models and generative AI technologies positions it favorably to leverage the growing market for AI platform software. However, the recent rally in Palantir stock has made it expensive on the valuation front. This is reflected in analysts’ consensus ratings and average price targets.
Disclosure
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