Palantir Technologies (PLTR) is expected to announce its quarterly results after the market closes on Monday, and traders are preparing for a significant stock movement.
Options pricing indicates that traders anticipate Palantir’s stock to fluctuate more than 12% in the days following Monday’s earnings report. An increase of that magnitude would elevate Palantir stock to an all-time high around $139, while a drop of the same size would bring shares down to approximately $108.
Last year, Palantir was the top-performing stock in the S&P 500, rising 340%, and it held the position as the leading stock in the index this year as well, as of Friday’s close. The shares have surged over 60% since the beginning of 2025, while the overall S&P 500 has experienced a slight decline of just over 3%.
Palantir, a rising defense contractor, has recently profited from both a surge in demand for artificial intelligence (AI) services and the shifting priorities of Washington. The U.S. government represented more than 40% of Palantir’s revenue in the fourth quarter, which potentially exposes it to cost-cutting initiatives from President Trump and Elon Musk.
However, the company’s emphasis on AI, combined with Trump’s intent to boost spending on immigration enforcement and military initiatives, is expected to serve as positive factors for Palantir.
The latest earnings reports have driven Palantir’s stock upward
Following each of the company’s two most recent earnings announcements, shares have jumped more than 20%. In both February and last November, the company reported that strong demand for its AI platform propelled quarterly revenue growth of 30% or greater in the previous quarters.
Wall Street analysts project that Palantir will announce a 36% increase in revenue for the first quarter, with adjusted earnings rising over 60%, as per analysts tracked by Visible Alpha. Yet, due to the rapid rise of the stock in the past year and a half, only one analyst currently recommends purchasing it at its present price.
Still, the company has garnered a loyal base of retail investors who appear uninterested in selling. Analysts from Vanda Research noted earlier this year that Palantir ranks as the third most favored stock among individual investors, trailing only Nvidia (NVDA) and Tesla (TSLA). An Investopedia survey indicated that readers were just as eager to buy the dip in Palantir stock last month as they were with tech giants like Amazon (AMZN) and Apple (AAPL).