New York, Feb 12, 2026, 10:33 ET — Regular session
Palantir Technologies dropped 1.3% to $133.85 early Thursday, underperforming a patchy session for large-cap tech. Traders showed little appetite for richly valued software names before upcoming U.S. data.
Palantir’s stock, now a busy stand-in for “AI software” hype, is known for sharp moves tied to contract news, security nods, and even subtle shifts in rate outlooks. That’s why this move matters.
The company has news breaking on both the defense and commercial sides this week. Traders are weighing whether that’s the spark for another rally or simply puts the brakes on the current slide.
Palantir announced that the Defense Information Systems Agency signed off on its Palantir Federal Cloud Service (PFCS) Forward, broadening the scope of its existing Impact Level 5 and 6 provisional authorizations to now cover on-premises and so-called “edge” deployments. That change lets the systems operate much closer to where they’re needed—potentially right up near the battlefield or in tight spaces, not just back at large data centers. “PFCS Forward delivers on that promise,” said Akash Jain, president and CTO of Palantir USG, in a statement. 1
Palantir this week announced it’s deepening its partnership with Airbus, renewing their multi-year deal around Skywise, the European planemaker’s civil aviation data platform. “A testament to the bold vision we share,” said Palantir executive vice-president Josh Harris, emphasizing the companies’ ongoing push to develop “AI-enabled capabilities” across everything from production lines to aviation. 2
Analysts haven’t let up on Palantir. Daiwa Capital Markets bumped its rating up to “Buy” from “Hold,” though it trimmed the price target down to $180 from $200, according to TipRanks. Shigemichi Yoshizu, the analyst behind the call, pointed to what he described as “extraordinary demand” for Palantir’s Artificial Intelligence Platform, or AIP. The product serves as a layer, letting customers run large language models over their own data. 3
Palantir’s latest quarterly numbers make the bull-bear debate easy to spot. The Q4 2025 investor deck puts revenue at $1.41 billion, up 70% from a year earlier, with U.S. commercial sales jumping 137% to $507 million. The outlook calls for 2026 revenue between $7.182 billion and $7.198 billion, and U.S. commercial revenue topping $3.144 billion. 4
Beyond individual company news, growth stocks are back to moving with interest rate swings. Weekly jobless claims barely budged—still low, no sign of slack, said Carl Weinberg, chief economist at High Frequency Economics, in comments to Reuters. “Layoffs… are not signaling a weakening labor market,” he added. 5
But Palantir isn’t in the clear. Security clearances and those headline government deals often drag before showing up as new revenue, and anyone who’s watched public sector procurement knows the process is anything but straightforward. With the shares already trading at a premium, a slip on growth or margins lands fast and unforgiving.
Traders are now zeroed in on Friday’s U.S. Consumer Price Index for January, set for 8:30 a.m. ET. That print has the power to jolt rate bets, and with those, the mood toward high-multiple stocks such as Palantir. 6
