Palantir Shares Fall After Bookings Growth Slows in Q3

Palantir Technologies shares fell 4.89% to $169.62 on Tuesday after the company reported a significant slowdown in bookings growth for the third quarter. While the company beat revenue estimates with $2.313 billion—a 95.87% increase year-over-year—and exceeded adjusted earnings per share expectations at $0.44, its total contract value grew only 6% year-over-year to $2.918 billion.

Chief Financial Officer Dave Glazer attributed the deceleration to a shift in contract structures. He noted that the company signed multiple eight-figure deals that were shorter in duration than usual as customers rapidly adopted Sovereign AI capabilities in their enterprise.

Despite the bookings slowdown, the company raised its full-year revenue guidance to a range between $8.530 billion and $8.534 billion. The stock's decline affected several major ETFs, including the Invesco QQQ Trust and the Technology Select Sector SPDR Fund, though other gains within those funds offset the losses.