PLTR stock closed at $154.99 on Thursday, down $16.71 or 9.73%, in an eighth consecutive losing session. The stock touched $152.10 in extended trading and has recovered to $159.09 in Friday’s premarket, up 2.65%, per TradingView.
Palantir reported Q3 revenue growth of 96% on Monday and raised full-year guidance. The reason PLTR stock kept falling is in the same release, on a line most coverage skipped: total contract value booked grew 6%.
Four sessions separate the earnings beat from a 27.2% drawdown off the $212.94 peak of 12 October, which is what a de-rating looks like on a chart. Source: TradingViewPLTR Stock Closed at an Eighth Straight Loss
Thursday’s close was 27.2% below the $212.94 peak set on 12 October, a fall of $57.95 a share. PLTR stock is down 19.95% over five sessions and 18.87% over a month, and it is now negative across both the year to date and the past twelve months, at 14.51% and 17.99%. The 485.97% five-year gain is still intact.
Counting back eight sessions puts the start of the run at Tuesday 27 October. Four of those sessions came before Palantir reported on 2 November, so the selling in PLTR stock started a week before the results themselves.
The run also accelerated sharply as it went on, rather than bleeding out evenly. The first seven sessions took $41.24 off the peak price, and Thursday took $16.71 on its own, which is 28.8% of the entire drawdown in a single day. On 2.41 billion shares that is about $40.3 billion of market value in one session, against $139.6 billion since 12 October. A beta of 2.74 explains part of why PLTR stock moves like this when the sector turns.
FinanceFeeds put the bear case at $155 in its Tuesday page on the Q3 beat. Thursday’s close came in a cent under it, two sessions later.
Revenue Grew 96% and Bookings Grew 6%
The quarter was strong on every measure that looks backward rather than forward. Revenue rose 96% year over year and 20% sequentially to $2.313 billion, US commercial revenue rose 148% to $984 million, and US government revenue rose 96% to $953 million, according to the earnings release. US commercial revenue overtook US government revenue for the first time.
The one forward-looking measure in that same release points the other way entirely. Total contract value booked came to $2.918 billion, up 6% year over year, which is one sixteenth of the revenue growth rate. US commercial remaining deal value rose 79% over the year but only 4% over the quarter.
Bookings lead revenue by several quarters, so the 6% line is the one that describes next year rather than last. Source: Palantir Q3 2026 results · Chart: FinanceFeedsPalantir still posted a 62% adjusted operating margin on $1.427 billion of adjusted operating income, a Rule of 40 score of 158%, and GAAP earnings of $0.44 a share. Guidance went up to between $8.530 billion and $8.534 billion for the year, and the company holds $10.4 billion in cash and Treasuries. Chief executive Alex Karp said the Sovereign AI movement “is imposing the most dramatic dichotomy between haves and have nots,” a framing FinanceFeeds examined in the Q3 bar Wall Street set.
Investor Takeaway
The 6% bookings growth is the number that explains the PLTR stock selloff, so the Q4 contract value line in February matters more than the revenue beat.
Software Sold Off Together on Thursday
Palantir was neither alone in the selloff nor the heaviest faller among its software peers. Okta fell 10.80%, PLTR stock 9.87%, CrowdStrike 9.50%, Palo Alto Networks 8.88% and Fortinet 5.12% by late morning Pacific time, per Yahoo Finance.
Yahoo attributes the move to Wall Street’s post-election retreat from AI trades reaching software, after candidates from both parties campaigned against AI data centers and Democrats took both chambers. The market reaction to that sweep ran on FinanceFeeds on Wednesday.
Four enterprise software names fell within two points of each other, which argues the sector did more of the work on PLTR stock than the bookings line did. Source: Yahoo Finance · Chart: FinanceFeedsPLTR Stock Trades at 43.8 Times This Year’s Sales
Valuation is what turns a sector selloff into a 10% session. At Thursday’s $373.45 billion market capitalization and the company’s own $8.532 billion full-year guide, PLTR stock trades at 43.8 times current-year sales and 124.99 times trailing earnings.
Buyers are still stepping in at these levels, despite the scale of the de-rating. ARK Invest bought 63,638 shares worth about $10.9 million on 3 November and added roughly $11 million more during the slide. FinanceFeeds flagged the de-rating risk when the stock closed below $190 in October and when Gartner questioned the forward-deployed model.
Friday Premarket Points Higher
The premarket bid recovers about a quarter of what Thursday’s session took away. At $159.09 PLTR stock is still 25.3% below its October peak, and the next earnings date is 17 February 2027.
The Financial Times reported on Thursday that the UK plans to extend Palantir’s NHS contract while drawing up plans for a potential replacement. That puts a flagship government deployment on notice even as it is renewed, and it is a company risk rather than a sector one.
Dan Ives has warned chip stocks have another 12% to fall, while Tom Lee calls the AI selloff an overreaction and expects a 20% tech rally. Both views fit the same tape, which is the position PLTR stock holders are in.
Investor Takeaway
A premarket bounce that recovers a quarter of one session says little, so the test for PLTR stock is whether it holds above Thursday’s $152.10 low.