Economic News News 12 August 2025

February 2, 2026, 8:04 PM EST. Palantir Technologies reported Q4 revenue up 70% to $1.4 billion, significantly beating estimates. The company set a 2026 revenue outlook of around $7.19 billion, driven by a 137% surge in U.S. commercial revenue. Shares swung sharply in after-hours trading, highlighting investor uncertainty about the company's high valuation and ability to sustain growth. CEO Alex Karp noted a 'Rule of 40' score at 127%, a combined metric of growth and profitability. The firm posted strong profitability with a 41% operating margin and $791 million in free cash flow. Despite optimism over commercial AI adoption beyond government clients, traders remain cautious about contract execution and churn. Palantir ended the year with $7.2 billion in cash and short-term securities, underscoring solid financial footing amid mixed market reactions.