Stock Traders Buy Large Volume of Call Options on Palantir Technologies (NASDAQ:PLTR)

Palantir Technologies Inc. (NASDAQ:PLTR) saw unusually large options trading on Tuesday. Investors acquired 911,485 call options on the company. This represents an increase of approximately 66% compared to the typical daily volume of 548,499 call options.

Palantir Technologies News Roundup

Here are the key news stories impacting Palantir Technologies this week:

• Positive Sentiment: Blowout Q2 results: Revenue rose 93% year over year to $1.935 billion, exceeding the roughly $1.81 billion consensus estimate. Adjusted EPS of $0.41 also topped expectations near $0.34-$0.35 and increased from $0.16 a year earlier. Palantir Q2 earnings results
• Positive Sentiment: Commercial demand accelerated: U.S. commercial revenue surged 149% year over year to approximately $764 million, while total U.S. revenue grew 115%. Management attributed the performance to demand for “AI sovereignty,” as businesses and governments seek greater control over their data, AI models, and operations. Palantir AI sovereignty demand
• Positive Sentiment: Guidance was raised materially: Palantir now expects 2026 revenue of approximately $8.15-$8.16 billion, implying about 82% growth and above the prior consensus near $7.7 billion. U.S. commercial revenue is expected to grow at least 134%, and third-quarter revenue guidance of roughly $2.16 billion also exceeded estimates. Palantir raises annual revenue forecast
• Positive Sentiment: Profitability and cash generation strengthened: Palantir reported a 62% adjusted operating margin, approximately $1.22 billion in free cash flow, and $9.2 billion in cash and short-term Treasuries. Management also said the results were achieved with a relatively small, shrinking sales organization, supporting the scalability narrative.
• Positive Sentiment: Analyst sentiment improved: Piper Sandler initiated coverage with an Overweight rating and a $230 price target, while other firms raised targets following the earnings beat. Palantir also announced a Mercury Systems partnership to automate defense supply chains and accelerate production for military programs. Piper Sandler Palantir rating
• Neutral Sentiment: The broader market was also supportive, with technology and AI shares rallying and the major U.S. indexes reaching or approaching records. This likely amplified PLTR’s earnings-driven move but was not the primary catalyst.
• Negative Sentiment: Valuation remains a major risk. Even after the results, Palantir trades at a very high earnings multiple, leaving the stock vulnerable if growth decelerates or future results fail to exceed elevated expectations. Cantor Fitzgerald raised its target to $156 but retained a Neutral rating.
• Negative Sentiment: Reported insider-trading data showed substantial sales and no purchases by several executives and founders over the past six months. Such sales may reflect compensation or diversification, but they could weigh on sentiment at the current valuation.

Palantir Technologies Stock Up 27.5%

NASDAQ:PLTR traded up $34.62 during trading hours on Tuesday, reaching $160.26. The company had a trading volume of 94,471,615 shares, compared to its average volume of 46,326,305. The firm has a market cap of $384.20 billion, a price-to-earnings ratio of 180.12, a P/E/G ratio of 1.97 and a beta of 1.59. The business’s 50-day simple moving average is $130.16 and its two-hundred day simple moving average is $140.04. Palantir Technologies has a twelve month low of $106.37 and a twelve month high of $207.52.

Palantir Technologies (NASDAQ:PLTR) last released its quarterly earnings data on Monday, August 3rd. The company reported $0.41 earnings per share for the quarter, topping the consensus estimate of $0.34 by $0.07. The firm had revenue of $1.94 billion for the quarter, compared to the consensus estimate of $1.81 billion. Palantir Technologies had a net margin of 43.67% and a return on equity of 28.34%. The business’s revenue was up 92.8% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.16 earnings per share. As a group, equities analysts predict that Palantir Technologies will post 1.17 earnings per share for the current year.

Wall Street Analyst Weigh In

PLTR has been the topic of a number of analyst reports. DA Davidson increased their target price on shares of Palantir Technologies from $175.00 to $200.00 and gave the stock a “buy” rating in a research report on Tuesday. Argus upgraded shares of Palantir Technologies from a “hold” rating to a “buy” rating and set a $190.00 price target for the company in a research report on Wednesday, May 6th. DZ Bank assumed coverage on shares of Palantir Technologies in a report on Thursday, April 23rd. They set a “buy” rating and a $175.00 price target on the stock. Benchmark restated a “hold” rating on shares of Palantir Technologies in a report on Tuesday. Finally, Rosenblatt Securities reaffirmed a “buy” rating and set a $225.00 target price on shares of Palantir Technologies in a report on Thursday, July 30th. Two analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating, eleven have issued a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, Palantir Technologies has a consensus rating of “Moderate Buy” and an average price target of $190.73.

Insider Buying and Selling at Palantir Technologies

In related news, insider Stephen Andrew Cohen sold 319,934 shares of the business’s stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $136.04, for a total value of $43,523,821.36. Following the completion of the sale, the insider directly owned 592 shares in the company, valued at $80,535.68. The trade was a 99.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Alexander C. Karp sold 397,744 shares of the company’s stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $136.04, for a total value of $54,109,093.76. Following the completion of the transaction, the insider directly owned 6,432,258 shares in the company, valued at approximately $875,044,378.32. This represents a 5.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 1,112,270 shares of company stock worth $150,247,785 in the last 90 days. Company insiders own 9.53% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Basepoint Wealth LLC purchased a new stake in shares of Palantir Technologies in the fourth quarter worth $29,000. Ballast Advisors LLC bought a new stake in shares of Palantir Technologies in the 1st quarter valued at approximately $29,000. Morton Brown Family Wealth LLC boosted its stake in shares of Palantir Technologies by 250.0% during the 4th quarter. Morton Brown Family Wealth LLC now owns 175 shares of the company’s stock worth $31,000 after purchasing an additional 125 shares during the period. Cornerstone Financial Management LLC bought a new position in Palantir Technologies in the 4th quarter worth about $31,000. Finally, Clayton Financial Group LLC lifted its position in shares of Palantir Technologies by 500.0% in the 4th quarter. Clayton Financial Group LLC now owns 180 shares of the company’s stock worth $32,000 after purchasing an additional 150 shares during the period. Institutional investors own 45.65% of the company’s stock.

About Palantir Technologies

Palantir Technologies is a software company that develops data integration, analytics and operational decision-making platforms for government and commercial customers. Founded in 2003 by a team that included Alex Karp and Peter Thiel, Palantir has grown into a provider of enterprise-scale software designed to help organizations integrate disparate data sources, build analytic models and drive operational workflows. The company went public in 2020 and continues to position its products around large, complex data projects where security, provenance and real-time collaboration are important.

Palantir’s product portfolio centers on a small number of core platforms.