Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Palantir delivered exceptional Q1 2026 results with revenue surging 84.7% YoY to $1.63B, operating income jumping 328.3% to $754M, and net income reaching $871M, reflecting explosive demand for its AI-driven software platforms.
Revenue
$1.63B
+84.71% YoY
EPS (Diluted)
$0.34
+325.00% YoY
Gross Margin
86.8%
+6.4 pts YoY
Operating Income
$754M
+328.29% YoY
Source: SEC XBRL
Palantir Technologies (PLTR) reported Q1 FY2026 revenue of $1.63B, up 84.7% year over year. Operating margin was 46.2%, up 26.3 points from 19.9% a year earlier. Operating cash flow was $899.16M, up 189.8% year over year. PLTR's fiscal Q1 FY2026 corresponds to calendar Q1 2026.
Last 4 quarters: 4 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 0.41 | 0.35 | Beat +15.7% |
| Mar 2026This filing | 0.33 | 0.28 | Beat +15.8% |
| Dec 2025 | 0.25 | 0.23 | Beat +6.5% |
| Sep 2025 | 0.21 | 0.17 | Beat +22.2% |
Adjusted (non-GAAP) EPS of $0.33 versus the $0.28 analyst consensus — a +15.8% beat for Mar 2026. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $0.34.
Compiled by AI from this SEC filing
Revenue grew 84.7% year-over-year to $1.63B in Q1 2026, up from $884M in Q1 2025, signaling a significant acceleration in customer adoption of Palantir's AI and data analytics platforms across both government and commercial segments.
Source: 10-Q Income Statement (XBRL Financial Data)
Operating income surged 328.3% YoY to $754M, with operating margin expanding approximately 26 percentage points to 46.2%, demonstrating that revenue growth is far outpacing cost growth and the business model is scaling efficiently.
Source: 10-Q Income Statement (XBRL Financial Data)
Gross margin improved to 86.8% from 80.4% in the prior year period, a 6.4 percentage point expansion, indicating that Palantir's software-centric revenue mix is becoming increasingly profitable as fixed costs are spread over a larger revenue base.
Source: 10-Q Key Ratios (XBRL Financial Data)
Operating cash flow reached $899M in Q1 2026, up 189.8% from $310M in Q1 2025, while cash and equivalents more than doubled YoY to $2.29B, providing substantial financial flexibility for investment and operations.
Source: 10-Q Cash Flow Statement (XBRL Financial Data)
Total assets grew 51.4% YoY to $10.2B, stockholders' equity expanded 55.8% to $8.45B, and the debt-to-equity ratio remained very low at 0.19, reflecting a fortress balance sheet with minimal leverage.
Source: 10-Q Balance Sheet (XBRL Financial Data)
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
With revenue growing 84.7% YoY and operating margins at 46.2%, market expectations for continued hypergrowth are embedded in the stock. Any deceleration in growth rates could lead to significant multiple compression. Sustaining this pace of growth as the revenue base scales will become increasingly challenging.
Source: 10-Q Income Statement (XBRL Financial Data)
Palantir has historically derived a significant portion of revenue from government contracts, which are subject to budget cycles, political priorities, and procurement delays. A shift in government spending priorities or loss of key contracts could materially impact revenue. The rapid commercial growth partially mitigates but does not eliminate this risk.
Source: 10-Q Income Statement (XBRL Financial Data)
R&D expenses grew only 19.3% YoY to $161M while revenue grew 84.7%, meaning R&D as a percentage of revenue is declining sharply. While this boosts near-term margins, underinvestment in R&D relative to peers could risk long-term competitive positioning in the rapidly evolving AI landscape.
Source: 10-Q Income Statement (XBRL Financial Data)
Palantir has historically used substantial stock-based compensation, which can dilute existing shareholders over time. The gap between basic EPS ($0.36) and diluted EPS ($0.34) reflects dilution from equity awards, and continued issuance of equity-based compensation could weigh on per-share value.
Source: 10-Q Income Statement (XBRL Financial Data)
As a provider of AI and data analytics platforms to government and defense clients globally, Palantir is exposed to geopolitical tensions, export control regulations, and sanctions that could restrict its ability to operate in certain markets or serve certain clients. Changes in international relations could impact both revenue and contract renewals.
Source: 10-Q (XBRL Financial Data — inferred from business model)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 1.63 $B | 0.88 $B | +84.71% |
Cost of Revenue $M | 215.80 $M | 172.97 $M | +24.76% |
Gross Profit $B | 1.42 $B | 0.71 $B | +99.30% |
Operating Income $M | 754.00 $M | 176.05 $M | +328.29% |
Net Income $M | 870.53 $M | 214.03 $M | +306.73% |
EPS (Basic) $ | 0.36 $ | 0.09 $ | +300.00% |
EPS (Diluted) $ | 0.34 $ | 0.08 $ | +325.00% |
R&D Expense $M | 160.98 $M | 134.89 $M | +19.34% |
Answers draw on this SEC filing and the data on this page
Palantir's Q2 FY2026 revenue surged 93% to $1.94 billion, with net income more than tripling, as AI-driven demand propelled broad-based growth across commercial and government clients.
Palantir delivered a breakout FY2025, with revenue surging 56.2% to $4.48B, operating income exploding 355.5% to $1.41B, and free cash flow nearly doubling, reflecting accelerating AI-driven demand across both government and commercial segments.
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