Palantir reported record-breaking fourth-quarter 2025 financial results that exceeded analyst expectations for both revenue and earnings. The company’s U.S. commercial business grew 137% year-over-year. Management issued a full-year 2026 revenue growth forecast of 60%.
Palantir shares declined in subsequent trading sessions despite the positive financial report. Market participants characterized the movement as a sell the news event that erased post-earnings gains.
Broader weakness in the technology sector contributed to the downward pressure. Analysts cited the stock’s high valuation as a primary driver for investors locking in profits.