TLDR
- PLTR closed at $160.66 on August 2, 2025, up 4.14% and hit an all-time high of $160.92
- Q2 2025 revenue rose 48% YoY to $1.004 billion, led by 93% growth in U.S. commercial sales
- Adjusted EPS of $0.16 beat estimates; GAAP net income reached $327 million
- Full-year revenue guidance raised to $3.9 billion with 44% projected operating margin
- $100M U.S. Army contract and strategic partnerships boost long-term growth outlook
Palantir Technologies Inc. (NASDAQ: PLTR) stock surged 4.14% to close at $160.66 on August 2, 2025, after the company reported blowout Q2 results that sent its share price to a record high of $160.92.
Palantir Technologies Inc. (PLTR)
Driven by accelerating demand for artificial intelligence (AI) capabilities across industries, Palantir posted $1.004 billion in revenue, up 48% year-over-year, marking a major milestone for the data analytics leader.
AI Boom Powers Commercial and Government Segments
Palantir’s commercial revenue in the U.S. rose a staggering 93% year-over-year to $306 million, with quarterly growth hitting 20%. Its AI-driven offerings, such as the Artificial Intelligence Platform (AIP), found strong traction in sectors like manufacturing and healthcare. Meanwhile, U.S. government revenue climbed 53% to $426 million, reflecting ongoing strength in national defense and intelligence work.
CEO Alex Karp noted the company’s role in the “tectonic shift” toward enterprise AI adoption, with Palantir acting as the “operating system for the modern enterprise.” The company now serves 769 customers, a 39% increase from last year, and maintains a 124% net dollar retention rate, signaling strong upsell momentum.
Financial Results and Upbeat Guidance
Adjusted earnings per share came in at $0.16, beating expectations. GAAP net income totaled $327 million, representing a margin of 33%. Palantir raised its full-year 2025 revenue guidance to $3.9 billion, a 36% increase over 2024, and projected an adjusted operating margin of 44%.
Wall Street responded favorably, with analysts raising price targets and reaffirming bullish outlooks. Wedbush reiterated its “Outperform” rating and lifted its target to $160, citing rising confidence in Palantir’s long-term AI strategy. However, some voices urged caution over the company’s elevated valuation, which exceeds 100x forward earnings.
Major Contracts and Strategic Partnerships
The company’s expanding federal footprint was further solidified by a $100 million contract from the U.S. Army to develop a Next-Generation Command and Control prototype. Palantir also inked a two-year deal with Knightscope Inc. under its FedStart program to help the robotics firm gain U.S. federal accreditation.
New partnerships include integrations with Tomorrow.io to bring real-time weather intelligence into Palantir’s systems, and a collaboration with Accenture Federal Services (NYSE: ACN) to co-deploy AI solutions for government agencies.
Investor Confidence and Market Outlook
Investor enthusiasm remains high, with shares now up over 567.66% in the past year. According to InvestingPro, Palantir’s financial health remains strong, boasting 80% gross margins and 33.45% revenue growth over the last twelve months. Its Rule of 40 score stands at an impressive 83%, balancing profitability and growth.
While macroeconomic factors like interest rates and regulatory scrutiny pose potential risks, Palantir’s aggressive AI roadmap and deepening government ties keep the company well-positioned to maintain its growth trajectory.
