Palantir and the market reaction
$PLTR fell sharply today, despite the company reporting better-than-expected results for the third quarter of 2025. Revenue reached approximately 1.18 billion USD, which beat analysts' consensus of around 1.09 billion USD, and earnings per share were also slightly higher than expected. Nevertheless, the shares lost about 7 to 9 % during the day, as investors reacted more to concerns about excessive valuation than to the results themselves.
According to analysts, Palantir remains a quality business with growing demand for its data analytics and artificial intelligence software, but the growth pace may no longer match the expectations priced into the stock. The market is reacting to the risk that the current valuation is not sustainable in the long term, especially in an environment of heightened volatility in technology stocks and cooling sentiment in the AI sector. Today's development therefore reflects a clash between solid results and growing skepticism about the company's future growth dynamics.
The market should have reacted the other way. I've been buying this year and I'm happy😃
The company posted another strong set of results and I'll keep holding. It may be overpriced for some, but to me the potential is still enormous.
I wanted to sell the gains already on Friday, when the share was over $200. In the end I decided to wait for the results, assuming they'd beat expectations and the market would reward them. Well... no luck — I ended up selling at $196 :-).