Palantir Technologies NASDAQ:PLTR shares jumped more than 25% Tuesday after the software company delivered quarterly results above market expectations and lifted its forecast for the year.
The rally lifted Palantir Technologies above its 200-day moving average, a technical level investors often use to assess longer-term price trends. Shares were recently around $154.60, compared with the average near $152.48.
Palantir Technologies reported adjusted earnings of 41 cents a share on $1.94 billion in revenue for the second quarter. Both figures exceeded analysts' estimates. The company also raised its full-year outlook, adding to investor interest following the results.
Palantir Technologies recorded particularly strong demand in the U.S. market. Revenue from the region increased 115% from a year earlier, while commercial sales climbed 149% and government revenue rose 90%. The company also completed 220 transactions valued at $1 million or more during the quarter.
Palantir Technologies said U.S. commercial customers generated a record $2.13 billion in contract value during the period. Chief Executive Alex Karp pointed to the company's 155% Rule of 40 score, a measure combining revenue growth and adjusted operating margin, while outlining expectations for continued expansion over the next 18 months.