Overview
- Palantir stock fell after an RBC note questioned the setup into next week’s report, with shares recently down about 3% to $137.04.
- RBC argued the valuation is extreme and cited its USAspending.gov tracker showing quarterly government contract value dropping to $43.9 million from $65.9 million, with net new awards negative for a second straight quarter.
- The bank also flagged rising commercial risks, pointing to talk of customer churn and tougher competition from Microsoft, Databricks, Snowflake, OpenAI and Anthropic.
- Bullish voices countered the caution, with Wedbush reiterating a $230 target and Baird staying positive, while Citigroup kept a Buy at $210 on strength tied to Palantir’s Artificial Intelligence Platform.
- Wall Street expects roughly $1.54 billion in Q1 revenue and about $0.28 in adjusted EPS, and investors will watch U.S. commercial growth and guidance after a recent $300 million USDA deal, with earlier reports noting forward P/E near 93 times that heightens sensitivity to any slowdown.