Palantir Technologies (PLTR) is set to report its third-quarter earnings on November 3, and the options market is expecting a volatile reaction. Based on options pricing, traders are expecting an 10.48% move in either direction after results, which is lower than Palantir’s average post-earnings move (in absolute terms) of 16.8% over the past four quarters.
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The 10.48% move suggests that investors are bracing for sharp swings as they look for updates on AI contracts, government deals, and commercial growth in the upcoming report.
What Is Wall Street Expecting from PLTR’ Q3 Earnings?
Analysts expect the company to report strong top- and bottom-line numbers, driven by rising demand for the company’s AI Platform (AIP). Wall Street expects PLTR to report earnings of $0.17 per share, up 70% from last year.
Also, revenues are expected to increase nearly 50% year-over-year to $1.09 billion. Notably, AMD has an encouraging earnings surprise history. The company missed earnings estimates just once out of the previous nine quarters.
Analyst’s Take Ahead of Q3
Ahead of the Q3 print, Wedbush analyst Dan Ives reiterated his Buy rating on Palantir with a $200 price target. The five-star analyst said Palantir is on a “golden path” and could become the next Oracle (ORCL) in the years ahead. He noted that the company is improving its products, hiring top talent, and expanding globally, strengthening its position in the fast-growing AI market.
Ives highlighted new partnerships as key growth drivers. Palantir’s deal with Snowflake (SNOW) connects its AI platforms for faster, more secure model building, while its tie-up with Nvidia (NVDA) adds Blackwell architecture to AIP, enhancing AI performance for clients.
Ives said these partnerships could help Palantir win more enterprise AI deals and expects U.S. commercial revenue to rise over 85% in fiscal 2025, backed by strong AIP adoption and growing demand across industries.
Is PLTR a Good Stock to Buy Now?
Overall, Wall Street is sidelined on PLTR stock, with a Hold consensus rating based on four Buys, 13 Holds, and two Sell recommendations. The average PLTR stock price target of $158.41 implies 20.98% downside risk from current levels.
