Shares of Palantir Technologies (PLTR 5.81%) are falling today regardless of gains for the wider market. The business’s stock was down roughly 4.8% as of 12:40 p.m. ET Wednesday in conjunction with the announcement of a new collaboration with Jacobs Design Group (J 0.14% ). At the same time, Jacobs’ share cost was up roughly 2.8%.
Palantir stock price prediction has actually been unpredictable in current months and also has actually seen especially stormy trading following its fourth-quarter record in mid-February, so it’s hard to claim just how much of today’s movement is connected to the news of the Jacobs partnership or other stimulants at play.
A graph line as well as arrow relocating down.
Photo source: Getty Images.
Jacobs published a press release today introducing that it had created a partnership with Palantir to create information and technology options for the facilities as well as national security markets. The very first software application generated by the partners will be a data-analytics offering for public- and also private-sector clients in water-infrastructure solutions. It will concentrate on making use of data evaluation to improve the procedure and also upkeep of water and also wastewater treatment plants.
That barely sounds like trouble in its own right, yet capitalists could be attracting unfavorable inferences regarding what the partnership recommends about Palantir’s capabilities and also development expectation.
Palantir stock has slipped about 17% considering that the business reported its fourth-quarter results on Feb. 17. It managed to expand revenue 34% year over year to get to $433 million, yet investors were broadly let down to see profits from federal government customers expand only 26% year over year in the period.
As opposed to checking out the brand-new partnership with Jacobs as a chance to speed up development in the infrastructure-services room, it seems the market could be let down that Palantir isn’t prepping solutions on its own or collaborating with another prospective companion.
Palantir now has a market capitalization of approximately $24 billion as well as is valued approximately 12 times this year’s expected sales and also 59 times expected modified revenues.