Palantir’s Q4 Revenues Surge 70% to $1.407B, $170 Price Target Despite $1B Insider Sell-off
Palantir posted Q4 revenue of $1.407 billion, up 70% year-on-year, with commercial revenue jumping 137% to $507 million, prompting a rare upgrade and a $170 price target. Insiders sold over $1 billion in stock last year, while Michael Burry estimated a $46 fair value and warned of valuation drift.
1. Q4 Fiscal 2025 Results and Upgrade
Palantir reported fourth-quarter fiscal 2025 earnings of $0.25 per share, beating the $0.23 consensus, and revenue reached $1.407 billion, up 70% year-on-year. Commercial revenue jumped 137% to $507 million and government contracts delivered $570 million, supporting a rare upgrade to Buy with a $170 price target and raised 2026–27 revenue forecasts.
2. Burry’s Valuation Critique
Michael Burry argued that Palantir’s stock price outpaces its business fundamentals, estimating a fair value of $46 per share and outlining scenarios ranging from $21 to $146. He emphasized cultural and leadership factors that, while driving investor enthusiasm, may fail under valuation pressure, and he holds bearish put options rather than outright short positions.
3. Insider Sales Exceed Net Income
Insiders have sold more than $1 billion of Palantir stock over the past 12 months, surpassing the company’s net income for the period and raising questions about executive confidence during a period of rapid growth and valuation concerns.