The Motley Fool·2025-11-09 14:35Core Insights - Palantir Technologies has demonstrated strong quarterly results, surpassing expectations and raising its revenue guidance significantly for the year [1][4] - The company has achieved a remarkable 152% return this year, leveraging artificial intelligence to enhance its offerings [2] - Palantir's third-quarter revenue reached $1.18 billion, exceeding analyst expectations of $1.09 billion, with adjusted earnings per share of $0.21, above the estimated $0.17 [3] Financial Performance - Palantir's revenue guidance for the full year has been raised to approximately $4.4 billion, up from a previous estimate of $4.1 billion [4] - The company's revenue grew by 63% year-over-year in the last quarter, an acceleration from the 48% growth in the previous quarter [4] - In comparison, Nvidia's growth rate was 56% in its last earnings report, down from 69% a quarter earlier, indicating Palantir's growth is outpacing Nvidia's [5] Market Position and Valuation - Palantir's market capitalization is around $450 billion, with a price-to-earnings ratio of 430, significantly higher than Nvidia's market cap of $4.8 trillion and a price-to-earnings ratio of 56 [7] - Despite Palantir's impressive growth, its high valuation raises concerns about its sustainability as an investment compared to Nvidia, which is viewed as a safer long-term buy [10][11] - Hedge fund manager Michael Burry's put options on Palantir suggest skepticism about its valuation, indicating potential concerns about a price decline [8][9]