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Palantir Technologies Inc. (PLTR) Stock Falls Amid Market Uptick: What Investors Need to Know

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Palantir Technologies Inc. (PLTR - Free Report) closed at $41.93 in the latest trading session, marking a -1.18% move from the prior day. The stock fell short of the S&P 500, which registered a gain of 0.47% for the day. Elsewhere, the Dow gained 0.79%, while the tech-heavy Nasdaq added 0.28%.

Prior to today's trading, shares of the company had gained 16.41% over the past month. This has outpaced the Business Services sector's gain of 2.97% and the S&P 500's gain of 3.48% in that time.

Market participants will be closely following the financial results of Palantir Technologies Inc. in its upcoming release. The company plans to announce its earnings on November 4, 2024. The company's upcoming EPS is projected at $0.09, signifying a 28.57% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $705.1 million, reflecting a 26.33% rise from the equivalent quarter last year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.36 per share and revenue of $2.76 billion, indicating changes of +44% and +24.15%, respectively, compared to the previous year.

Investors should also note any recent changes to analyst estimates for Palantir Technologies Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 0.57% fall in the Zacks Consensus EPS estimate. Palantir Technologies Inc. is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, Palantir Technologies Inc. is currently trading at a Forward P/E ratio of 118.96. This indicates a premium in contrast to its industry's Forward P/E of 24.89.

The Technology Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 74, putting it in the top 30% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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