Palantir Technologies (NASDAQ: PLTR) delivered a blockbuster Q1 2026 earnings report after the market closed on May 4. But 85% year-over-year (YOY) revenue growth and a Rule of 40 score of 145%, among other highlights, weren’t enough to cheer investors. PLTR dropped 7% the day after the report.
The predictable concern was the company’s valuation. The company delivered earnings per share of 33 cents. That was 5 cents above projections for 28 cents. The number was also 153% higher YOY. On a GAAP basis, the earnings beat was even more impressive. GAAP EPS of 32 cents was 325% higher YOY.
