Palantir Technologies Inc.·Technology

Palantir Technologies NASDAQ: PLTR just posted what may be the best quarter in its history as a public company. 85% revenue growth, operating margins approaching 50%, $8 billion in combined cash and short-term securities, and zero signs of stress anywhere in the business.

Palantir Technologies (PLTR) delivered a record Rule of 40 (R40) score of 145% in FQ1 2026, combining 85% YoY revenue growth and 60% adjusted operating margin. PLTR's R40 score is exceptionally rare for a software company of its scale, reflecting robust scalability and profitability. Consensus projects annual topline growth rates between ~40% to 70% in the years ahead, implying sustained R40 score averaging above 100.

The AI software specialist's drop in 2026 has more to do with where the stock started the year than where the business is heading.

Palantir's expanding customer base and rising U.S. commercial adoption are strengthening its enterprise AI growth story despite sector volatility.

Palantir (NASDAQ:PLTR | PLTR Price Prediction) is the AI stock retail traders cannot stop talking about, with Reddit sentiment scores spiking to 88 on May 19 and CEO Alex Karp boasting the company is “an n of 1” with a Rule of 40 score of 127%.

The AI boom triggers a SaaS revolution, with the growing demand for customized SaaS offerings triggering PLTR's AI beneficiary status and the accelerated, profitable growth prospects. Their vertically integrated AI operating platform supports their well diversified monetization opportunities across numerous commercial and federal end markets. Given the higher adoption/expanding cross-selling trends, it is unsurprising that PLTR has delivered robust FQ1'26 metrics while raising their FY2026 guidance.
Palantir Technologies Inc. builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations in the United States, the United Kingdom, and internationally. The company provides Palantir Gotham, a software platform which enables users to identify patterns hidden deep within datasets, ranging from signals intelligence sources to reports from confidential informants, as well as facilitates the handoff between analysts and operational users, helping operators plan and execute real-world responses to threats that have been identified within the platform. It also offers Palantir Foundry, a platform that transforms the ways organizations operate by creating a central operating system for their data; and allows individual users to integrate and analyze the data they need in one place. In addition, it provides Palantir Apollo, a software that delivers software and updates across the business, as well as enables customers to deploy their software virtually in any environment; and Palantir Artificial Intelligence Platform (AIP) that provides unified access to open-source, self-hosted, and commercial large language models (LLM) that can transform structured and unstructured data into LLM-understandable objects and can turn organizations' actions and processes into tools for humans and LLM-driven agents. The company was incorporated in 2003 and is headquartered in Denver, Colorado.
Technology
Software - Infrastructure
4,001
2020-09-30
1.52