PLTR

Sentiment Breakdown

Positive Sentiment

Business Achievements:
Palantir reported exceptionally strong top-line and operational metrics in Q3 2025, with consolidated revenue of $1.181 billion, a 63% year-over-year increase, and meaningful quarter-over-quarter growth of 18%. U.S. revenue rose 77% Y/Y to $883 million while U.S. commercial revenue surged 121% Y/Y to $397 million, driven by large deal activity including 204 deals ≥ $1M, 91 deals ≥ $5M, and 53 deals ≥ $10M. The company closed record total contract value of $2.76 billion (up 151% Y/Y) and record U.S. commercial TCV of $1.31 billion (up 342% Y/Y), with U.S. commercial remaining deal value of $3.63 billion (up 199% Y/Y), indicating strong sales momentum and expanding customer adoption. Profitability and cash generation were notable: GAAP operating income of $393 million (33% margin), GAAP net income of $476 million (40% margin), cash from operations of $508 million (43% margin), and adjusted free cash flow of $540 million (46% margin), producing a Rule of 40 score of 114%.

Strategic Partnerships:
While the release does not enumerate specific third-party partners, the dramatic growth in commercial contracts, record TCV figures, and rising customer count (up 45% Y/Y) imply successful enterprise and government engagements that strengthen market positioning and signal broad external validation of Palantir’s platform and AIP-driven offerings.

Future Growth:
Management raised full-year 2025 guidance and provided an aggressive Q4 outlook, guiding Q4 revenue to $1.327–$1.331 billion (implying ~61% Y/Y growth) and raising FY2025 revenue guidance to $4.396–$4.400 billion (up ~53% Y/Y). The company also lifted guidance for U.S. commercial revenue to in excess of $1.433 billion (≥104% growth), adjusted operating income to $2.151–$2.155 billion, and adjusted free cash flow to $1.9–$2.1 billion, reflecting management confidence in continued high-margin growth and sustained cash generation.

Neutral Sentiment

Financial Performance:
The report presents audited-like unaudited Q3 financials: revenue $1,181,092 thousand (63% Y/Y), GAAP income from operations $393,256 thousand (33% margin), adjusted income from operations $600,540 thousand (51% margin), cash from operations $507,664 thousand (43% margin), adjusted free cash flow $539,862 thousand (46% margin), net income attributable to common stockholders $475,599 thousand (40% margin), adjusted net income $528,709 thousand, adjusted EBITDA $606,515 thousand (51%), GAAP diluted EPS $0.18, and adjusted diluted EPS $0.21. Cash and short-term U.S. Treasury securities totaled $6.4 billion. The company provided Q4 and full-year guidance ranges for revenue and adjusted operating metrics, and reiterated expectation of GAAP operating income and net income in each quarter of the year.

Negative Sentiment

Financial Challenges:
The release contains limited disclosure of cost pressures or margin degradation; however, the notable absence of detailed discussion around R&D, sales and marketing, or headcount trends leaves unclear the sustainability of the current margins as scale and commercial expansion continue. GAAP EPS of $0.18 and adjusted EPS of $0.21, while positive, remain modest relative to the revenue scale, which could reflect dilution or other non-operational factors not fully explained in the release.

Potential Risks:
Risks include reliance on continued large deal wins and concentrated demand in U.S. commercial and government segments; a high dependency on sustaining record TCV and RDV growth rates could pose execution risk if macro conditions or procurement cycles shift. The forward-looking guidance is ambitious and subject to typical execution, competitive, and macroeconomic uncertainties; absence of granular risk disclosures in the release increases investor reliance on future quarters to confirm trajectory.