Palantir Technologies (PLTR) reports second-quarter earnings early Thursday amid the enterprise software maker’s growing investments in special purpose acquisition companies. Palantir stock trades well below an entry point heading into the earnings report.
Denver-based Palantir has invested in SPACs as a way to gain customers for its data analytics software, management has stated. SPACs raise money in initial public offerings with the purpose of making acquisitions.
While the software maker’s government business remains the chief growth driver for Palantir stock, it gained traction with commercial customers in the first quarter.
Palantir earnings for the June quarter are expected to come in at 4 cents per share, up from 1 cent in the year-earlier period. Palantir’s revenue is expected to climb 43% to $360.3 million.
Palantir Stock: Government Agencies Big Customers
Government agencies use Palantir software for intelligence gathering, counterterrorism and military purposes. The software maker aims to expand into the health care, energy and manufacturing sectors.
In addition, Palantir stock has dipped about 3% in 2021. Meanwhile, Palantir owns a Relative Strength Rating of 70 out of a best-possible 99, according to IBD Stock Checkup.
Heading into the earnings report, Palantir stock trades about 17% below its flat-base entry point of 27.60.
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