Palantir Lifts Outlook, Shares Slip

Palantir Perspectives · May 9, 2026 · 6m

Palantir just posted blowout numbers—Q1 revenue soared 85% to $1.63 billion, trouncing estimates, with U.S. government contracts leading the charge. Major deals like a $300 million pact with the Department of Agriculture and a spike in IRS and Pentagon work signal a new era of “government backbone software.” But despite a raised revenue forecast for 2026 and surging demand, the stock is down 18% this year as Wall Street questions whether high spending to hire top tech talent will outpace growth. Here’s the catch: winning huge government contracts is only half the battle. Palantir is racing to…