Palantir Technologies is expected to report year-over-year improvements in both revenue and profit for the second quarter when it reports its latest financial results after the market close on Monday, August 7.
Wall Street expects the company to report earnings per share (EPS) of $0.05 on revenue of $533.88 million, according to Zacks Consensus Estimate.
This 12.9% increase in revenue from $493 million in the year-ago quarter is expected to stem from strength in both Palantir’s government and commercial segments from increased sales to both existing and new customers.
The data company provides AI-driven services to the public and private sectors, including the United States intelligence community.
The forecast increase in Palantir’s EPS is expected to be driven by increased revenue and streamlined operations. It would represent a 600% jump from the year-ago quarter when Palantir reported a loss per share of $0.01.
According to Zacks, an earnings beat is not certain for Palantir, whose earnings surprise history has not been impressive.
Its earnings have lagged the Zacks Consensus Estimate in two of the past four quarters, with the company handing down a negative earnings surprise of 31.3% on average.
However, analysts at Wedbush are bullish on the stock, initiating coverage on the company this week with a ‘Buy’ rating and a $25 price target.
Palantir shares traded hands at $18.55 shortly before noon on Friday.
Contact the author at emily.jarvie@proactiveinvestors.com
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