Palantir’s stock is down 10% after the data analytics company announced weaker-than-expected forward guidance that disappointed analysts and investors.
The Denver, Colorado-based company reported earnings per share (EPS) of $0.08 U.S., matching Wall Street expectations. The company has posted a profit for six consecutive quarters.
Revenue in the year’s first quarter totaled $634 million U.S. versus estimates of $625 million U.S. Sales were up 21% from a year earlier.
Palantir, which builds big-data and artificial intelligence (A.I.) software for governments and corporations issued guidance that left investors wanting more.
Management said that they expect current second-quarter revenue of $649 million U.S. to $653 million U.S. versus $653 million U.S. that was the consensus expectation among analysts.
For all of this year, Palantir anticipates revenue of $2.68 billion U.S. to $2.69 billion U.S., weaker than consensus estimates of $2.71 billion U.S.
The weak guidance comes despite a Q1 revenue beat. Earlier this year, Palantir signed a $178 million U.S. contract with the American military to develop a next-generation sensor station.
Palantir added that it 660 “bootcamps” with prospective customers during Q1, allowing them to get hands-on time with the company’s data analytics technology.
Prior to today (May 7), Palantir’s stock had risen 225% over the last 12 months to trade at $25.21 U.S. per share