Last week we saw a plethora of important earnings results and increased market volatility. This wee should be another busy one with a lot of important companies due to report. This week we have Amazon (AMZN), Palantir (PLTR), Advanced Micro Devices (AMD), Alphabet (GOOGL), PayPal (PYPL), Pfizer (PFE), Uber Technologies (UBER), Disney (DIS) and Merck (MRK) all reporting in what shapes as a busy and pivotal week for stocks. Before a company reports earnings, implied volatility is usually high because the m ...

Economic Data - The U.S. producer price index (PPI) for final demand increased by +0.5% month-over-month (m/m) and +3.0% year-over-year (y/y) in December, surpassing expectations of +0.2% m/m and +2.7% y/y [1] - The core PPI, excluding food and energy, rose by +0.7% m/m and +3.3% y/y in December, also exceeding expectations of +0.2% m/m and +2.9% y/y [1] - The Chicago PMI for January rose to 54.0, significantly above the expected 43.5 [1] Stock Market Performance - Major equity averages on Wall Street ended lower, with chip stocks like KLA Corp. (KLAC) dropping over -15% and Advanced Micro Devices (AMD) falling more than -6% [2] - Mining stocks also declined sharply, with Coeur Mining (CDE) down over -16% and Hecla Mining (HL) sliding more than -14% [2] - PennyMac Financial Services (PFSI) plummeted over -33% after reporting disappointing Q4 results [2] - Conversely, Deckers Outdoor (DECK) surged more than +19% after better-than-expected FQ3 results and an increase in full-year guidance [2] Corporate Earnings and Economic Outlook - Investors are anticipating a new round of corporate earnings reports from major companies including Alphabet (GOOGL), Amazon.com (AMZN), and others, with S&P 500 companies expected to report an average +8.4% increase in Q4 earnings compared to the previous year [8][9] - The U.S. January Nonfarm Payrolls report is awaited for insights into the labor market and its implications for monetary policy, with revisions expected to show a significant markdown in hiring pace [10] - Several Federal Reserve officials are scheduled to speak this week, with discussions likely focusing on the current inflationary environment and interest rate policies [11] Global Market Trends - The Euro Stoxx 50 Index is down -0.07%, with mining stocks declining due to falling metal prices [14] - In Japan, the Nikkei 225 Index closed lower as risk sentiment soured, despite initial gains from a weaker yen and positive election polls [19] - China's Shanghai Composite Index experienced a significant drop, influenced by disappointing economic data and geopolitical concerns [16][17] Company-Specific Developments - Oracle (ORCL) announced plans to raise $45 billion to $50 billion for cloud infrastructure expansion, raising concerns about its debt burden [4][21] - Nvidia (NVDA) shares fell about -2% after CEO Jensen Huang clarified that the proposed $100 billion investment in OpenAI was not a commitment [4][22] - Palantir Technologies (PLTR) rose over +2% in pre-market trading following an upgrade from William Blair [22]

Core Viewpoint - Palantir Technologies is preparing to report its fourth-quarter 2025 earnings, with high expectations from investors regarding its valuation and performance, particularly in relation to its AI platform and commercial adoption [1]. Financial Performance - Management has guided fourth-quarter revenue to be between $1.327 billion and $1.331 billion, indicating approximately 61% year-over-year growth [2]. - The full-year revenue forecast has been raised to between $4.396 billion and $4.4 billion, reflecting strong demand for its AI-driven software across both government and commercial sectors [2]. - Wall Street estimates align with this outlook, projecting fourth-quarter revenue of about $1.34 billion, which represents a 61.9% increase year-over-year, and earnings per share of $0.23, a rise of over 64% [3]. Stock Price Predictions - Predictions suggest that Palantir's stock may experience volatility post-earnings, with an initial positive reaction expected, potentially pushing the stock price to the $150 to $155 range shortly after the earnings report [4][5]. - However, this initial strength may fade as investors reassess the company's valuation, leading to a possible consolidation range between $135 and $145 in subsequent sessions [6]. - A bearish scenario could see shares retreating to the $125 to $135 range if forward guidance does not exceed market expectations [7]. - Conversely, a bullish outcome would require a significant earnings beat and strong guidance for 2026, which could drive the stock above $160, potentially reaching the $170 area [8]. Analyst Sentiment - Wall Street analysts maintain a cautious stance on Palantir, with a consensus 'Hold' rating based on 18 analyst reviews, indicating a mix of optimism and valuation concerns [9]. - The average 12-month price target is set at $189.94, suggesting a 29.6% upside from the current share price, with bullish analysts predicting a rise to $235 and the most bearish outlook projecting a drop to $50 [11].

Core Insights - The rise of artificial intelligence (AI) has attracted significant investor attention and capital over the past three years, with the technology poised to benefit various global industries [1] Company Overview - Nvidia is often seen as the face of the AI revolution, but Palantir Technologies is argued to be a leading player in the AI sector [2] - Since the start of 2023, Palantir's shares have surged nearly 2,300%, adding over $350 billion in market value, driven by its sustainable competitive advantage and impressive sales growth [2] Stock Performance - Despite Palantir's strong positioning, its shares have declined 27% from their all-time high reached on November 3, 2025, leading to speculation about whether this correction presents a buying opportunity or signals further declines [3] Competitive Advantage - Palantir's competitive edge is attributed to its two core platforms, Gotham and Foundry, which lack large-scale competitors, allowing for predictable operating cash flow [4] - Gotham, the more established platform, supports U.S. government military operations and is the primary source of recurring profit for the company [5] - Foundry, a subscription-based SaaS platform, is expected to drive cash flow growth in the coming years, with a 49% increase in global commercial customers year-over-year, although the total customer count remains relatively low at 742 [6]

Palantir Technologies Inc. (NASDAQ:PLTR) is set to report fourth-quarter earnings on Monday, highlighting a surge in AI-focused government and commercial initiatives, including partnerships with Nvidia Corp. (NASDAQ:NVDA) and the U.S. Navy.Palantir Expands AI Infrastructure With Chain ReactionIn December 2025, Palantir unveiled Chain Reaction, a new operating system designed to address the growing demands of artificial intelligence infrastructure.The platform focuses on easing constraints in power and compu ...

Core Viewpoint - Wall Street anticipates significant growth in U.S. sales and robust profitability for Palantir as the company prepares to report its earnings, despite its stock being highly valued [1] Group 1 - Analysts expect Palantir to demonstrate strong financial performance, driven by increasing demand for its data analytics solutions [1] - The company's stock is currently considered richly valued, indicating high investor expectations for future growth [1] - There is a focus on the potential for Palantir to capitalize on expanding market opportunities in the technology sector [1]

智通财经APP获悉，Palantir Technologies Inc.(PLTR.US)计划于2026年2月2日(星期一)美国股市收盘后发 布其2025年第四季度财务报告。市场普遍预期，该公司第四季度营收将达约13.4亿美元，同比增长约 62%;经调整后的每股收益(EPS)预计为0.23美元，同比增长64.3%。整体运营收入的增加预计将进一步推 动净利润增长。在 Q3 财报中，Palantir官方给出的 Q4 营收指引区间为 13.27 亿至 13.31 亿美元。 第四季度营收实现增长，这一态势很可能主要得益于其政府及商业部门对人工智能技术需求的持续攀 升。其中，市场对于政府收入的共识预期为7.072亿美元，较去年同期增长55.4%;商业收入方面，共识 预期达6.462亿美元，同比增长幅度高达73.5%。 上述整体强劲增长很可能已由美国政府及私营商业组织对该公司人工智能平台(AIP)持续投以的信任所 驱动，使各组织能够处理海量数据集并获取实时洞察。当前，市场将紧盯美国商业业务的增长，该板块 上个季度增长了 121%。 在国防支出增加的预期下，Palantir 与美国政府及国防部的合作深度(如 4.48 亿美 ...

Core Insights - Palantir Technologies Inc. is set to release its Q4 2025 financial report on February 2, 2026, with expected revenue of approximately $1.34 billion, a year-over-year increase of about 62%, and adjusted EPS of $0.23, reflecting a 64.3% growth [1] - The anticipated revenue growth is primarily driven by increasing demand for artificial intelligence technologies from both government and commercial sectors, with government revenue expected to reach $707.2 million (up 55.4% year-over-year) and commercial revenue projected at $646.2 million (up 73.5%) [1] - The strong growth is likely supported by the trust placed in Palantir's Artificial Intelligence Platform (AIP) by U.S. government and private organizations, enabling them to process vast amounts of data and gain real-time insights [1] Group 1 - The collaboration between Palantir and the U.S. government, including a $448 million Navy contract, is a significant support for the stock price amid expectations of increased defense spending [2] - Investors are particularly focused on management's guidance for the full year 2026, which will determine the stock's potential for further appreciation given its current high valuation [2] - AIP is especially valuable in sectors requiring large-scale data integration, such as defense, healthcare, finance, and intelligence, where operational efficiency and decision-making speed are critical [2] Group 2 - The recent launch of the AI Hivemind tool, which organizes dynamically generated agents to solve problems and generate actionable proposals, is expected to further stimulate demand for digital and modernization services among clients [2] - Palantir's stock has risen approximately 78% in 2025, with the options market anticipating a potential price volatility of up to 9% following the earnings report [2] - The company's earnings surprise history has been strong, with three out of the last four quarters exceeding Zacks consensus estimates and an average surprise of 16.3% [3]

Core Viewpoint - Palantir Technologies has experienced significant growth driven by its Artificial Intelligence Platform (AIP), leading to a 2,200% increase in stock price over three years, with strong revenue growth anticipated in the upcoming earnings report on February 2 [1][2]. Company Success - Palantir, established over 20 years ago, initially focused on government clients, providing software for data organization and analysis. Recently, it has expanded its commercial business, which is expected to be a key revenue driver due to the high demand for AIP [3][5]. Stock Performance Trends - Despite a history of strong stock performance following earnings reports, recent trends indicate a slowdown in the pace of gains. For instance, stock performance two weeks post-earnings has shown a decline in growth rates, with Q1 2025 only seeing a 2% increase compared to previous quarters [6][7]. Valuation Focus - Investors are increasingly concerned about the high valuations of AI stocks, including Palantir, which, despite recent declines, is still considered expensive. This focus on valuation may impact future stock performance [8]. Long-term Outlook - While short-term gains may be muted, Palantir continues to report earnings growth and strong demand for its products, suggesting potential for long-term returns despite current market challenges [9].

Core Viewpoint - The software sector is experiencing its worst month since the Lehman Brothers collapse, with significant declines in stock prices and growing concerns about the impact of artificial intelligence on traditional business models [1][5]. Group 1: Market Performance - The iShares Expanded Tech-Software Sector ETF (NYSE:IGV) is on track for its steepest monthly drop since October 2008, with a single-day decline of approximately 6% [1][3]. - Microsoft Corp. (NYSE:MSFT) saw a drop of over 12%, marking its worst day since the onset of the lockdown [2]. - High-profile software companies like Palantir Technologies Inc (NASDAQ:PLTR), Oracle Corp (NASDAQ:ORCL), and AppLovin Corp (NASDAQ:APP) have all experienced declines of about 20% for the month [3]. Group 2: Analyst Insights - Analysts are increasingly suggesting that the current selloff reflects changing fundamentals rather than just short-term disappointments, as AI technology begins to transform software development and consumption [5]. - Thomas Shipp from LPL Financial raised the question of whether software businesses can survive the advancements in AI, noting the historical scalability of software businesses [5]. - Subscription-based models have traditionally supported premium valuations, but these could be at risk if software companies are displaced by AI advancements [6]. Group 3: Future Considerations - Most software producers will need to integrate their own AI enhancements to maintain market share in the evolving landscape [7].