Shares of Palantir Technologies (PLTR 5.81%) are dropping today regardless of gains for the more comprehensive market. The company’s stock was down about 4.8% as of 12:40 p.m. ET Wednesday along with the statement 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 news has actually been unstable in recent months and also has seen particularly rough trading following its fourth-quarter record in mid-February, so it’s difficult to claim just how much these days’s activity is linked to the news of the Jacobs partnership or various other drivers at play.
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Image source: Getty Images.
Jacobs released a press release today introducing that it had actually created a partnership with Palantir to develop data as well as innovation services for the facilities and also national safety and security markets. The very first software generated by the partners will certainly be a data-analytics offering for public- and also private-sector customers in water-infrastructure solutions. It will certainly concentrate on utilizing data evaluation to enhance the procedure as well as upkeep of water and also wastewater treatment plants.
That hardly sounds like bad news in its very own right, yet financiers could be attracting adverse inferences concerning what the partnership recommends concerning Palantir’s capabilities and also growth outlook.
Palantir stock has slid roughly 17% given that the business reported its fourth-quarter results on Feb. 17. It managed to expand income 34% year over year to get to $433 million, but financiers were broadly disappointed to see earnings from federal government customers grow only 26% year over year in the duration.
Rather than viewing the new partnership with Jacobs as a possibility to speed up expansion in the infrastructure-services area, it seems the marketplace could be dissatisfied that Palantir isn’t prepping remedies by itself or dealing with one more possible companion.
Palantir currently has a market capitalization of about $24 billion as well as is valued around 12 times this year’s anticipated sales and also 59 times anticipated adjusted earnings.