NEW YORK, July 25, 2026, 16:17 EDT — U.S. markets have ended trading for the day.
Palantir ended the week at $122.92, falling 7.1% from last Friday. The Nasdaq Composite declined 2.1%. The discrepancy is notable ahead of an earnings report that continues to require standout growth.
Despite the recent decline, Palantir still trades at a high valuation by its management’s estimates. Using the diluted share count from Q1, the company’s equity is valued at roughly $316 billion.
This represents 41.3 times the midpoint of its projected revenue for 2026. Shares are trading 40.8% under their 52-week peak.
Revenue for the first quarter reached $1.633 billion. Palantir set its Q2 guidance midpoint at $1.799 billion. This means the company must generate $4.224 billion in the second half.
This means third- and fourth-quarter average revenue must reach $2.112 billion. That figure is 17.4% higher than the midpoint for Q2. The estimates remain provisional.
| Security | July 24 close | Weekly move |
|---|---|---|
| Palantir Technologies NASDAQ:PLTR | $122.92 | -7.1% |
| Salesforce NYSE:CRM | $163.66 | -4.2% |
| Nasdaq Composite | 24,975.82 | -2.1% |
| Snowflake NYSE:SNOW | $268.06 | -0.3% |
Change measured from Friday to Friday between July 17 and July 24.
Palantir posted the steepest weekly fall among these peers. Both Salesforce and Snowflake lost ground as well, though their drops were less pronounced.
The bulk of the losses took place on Wednesday. Palantir dropped 6.1%, marking its sharpest decline of the week.
The decline took place as British oversight increased. NHS England appended disclaimers to positive results regarding Palantir’s health platform, according to the Financial Times. A UK statistics review indicated the data could not demonstrate a causal relationship.
The core business is robust, with Q1 revenue up 85% and gross margin climbing to 87% from 80%.
U.S. commercial revenue surged 133% to $595 million, while revenue from the U.S. government increased 84% to $687 million.
Chief Executive Alex Karp stated in May: “Momentum surged as we grew 85% last quarter.” The company’s management increased its 2026 revenue outlook to a range of $7.650 billion to $7.662 billion. SEC
Brent Thill, an analyst at Jefferies Financial Group NYSE:JEF, approached the disagreement over valuation from another angle. He raised the issue of “whether growth can keep accelerating off a much larger base.” Business Insider
Analyst opinions on Friday showed a clear split. Citigroup NYSE:C analyst Tyler Radke reiterated a buy rating with a $200 price target. Thill held to a sell rating and a $70 target.
Upcoming rate and cloud spending updates are due next week. The Federal Reserve holds its meeting July 28-29. Microsoft NASDAQ:MSFT posts results on Wednesday, with Amazon.com NASDAQ:AMZN scheduled for Thursday.
Palantir will release its second-quarter earnings after markets close on Monday, August 3. The results webcast begins at 5 p.m. ET.
Investors are set to examine revenue against the $1.797 billion-$1.801 billion forecast. To confirm the implied second-half acceleration suggested by the present guidance, any increase to the annual forecast must also support this trend.
Risks: Delays in contract awards, regulatory review in the UK and increased yields may add to the valuation pressure. Accelerated U.S. expansion or more optimistic guidance could trigger a rebound.
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