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Here's Why Palantir Technologies Inc. (PLTR) Fell More Than Broader Market

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Palantir Technologies Inc. (PLTR - Free Report) closed at $151.86 in the latest trading session, marking a -3.49% move from the prior day. This change lagged the S&P 500's 0.13% loss on the day. At the same time, the Dow added 0.11%, and the tech-heavy Nasdaq lost 0.72%.

The company's stock has dropped by 11.48% in the past month, falling short of the Computer and Technology sector's gain of 1.88% and the S&P 500's gain of 0.78%.

The investment community will be closely monitoring the performance of Palantir Technologies Inc. in its forthcoming earnings report. The company is scheduled to release its earnings on February 2, 2026. The company's upcoming EPS is projected at $0.23, signifying a 64.29% increase compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.35 billion, up 62.75% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.74 per share and a revenue of $4.42 billion, signifying shifts of +80.49% and 0%, respectively, from the last year.

Any recent changes to analyst estimates for Palantir Technologies Inc. should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Palantir Technologies Inc. is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Palantir Technologies Inc. has a Forward P/E ratio of 151.3 right now. This denotes a premium relative to the industry average Forward P/E of 23.25.

We can also see that PLTR currently has a PEG ratio of 3.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software industry had an average PEG ratio of 1.38 as trading concluded yesterday.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 80, which puts it in the top 33% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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