Palantir Technologies (NYSE: PLTR) stock jumped almost 4% on Thursday following the revelation of a multi-year strategic collaboration with Bapco Energies’ wholly-owned subsidiary, Bapco Upstream.
Palantir (PLTR) has had an impressive week. PLTR stock has surged by over 45% in the last five trading days following the announcement of its fourth-quarter earnings. The data analytics giant is poised to maintain its momentum with the recent announcement of a multi-year strategic partnership with Bapco Energies’ wholly-owned subsidiary, Bapco Upstream. The specific financial details of this partnership have remained undisclosed at press time.
The partnership, spanning three years, will grant Bapco access to Palantir’s Foundry and Artificial Intelligence Platform (AIP). Bapco plans to utilize these platforms to enhance efficiency and maximize energy production returns on investment within the Kingdom of Bahrain.
Alex Karp, the Co-founder and CEO of Palantir, stated that Bapco Energies is establishing itself as a leader in the AI-driven transformation of energy production.
He added,
“We are proud of this partnership, which will enable Bapco Upstream to boost output, improve efficiency, and meet Bahrain’s energy goals.”
Palantir Meeting Commercial Demand
Palantir Technologies (NYSE: PLTR) has actively engaged in the energy sector for more than ten years. Its AIP employs large-language models (LLMs) within a data centralization framework to enhance efficiency across the entire value chain.
The alliance also marks a victory for the company’s robust commercial expansion. In the fourth quarter, commercial revenue surged to $284 million, marking a 32% increase compared to the previous year, with U.S. commercial revenue witnessing remarkable growth at 70%, totaling $131 million. Total revenue reached $608 million, reflecting a significant 20% year-over-year increase.
For the full year of 2023, commercial revenue surged by 20% to hit the $1 billion mark. In the U.S., commercial revenue soared by 36% year over year, reaching $457 million. Overall, total revenue for the period amounted to $2.23 billion, marking a robust 17% increase.
Shareholders found solace in the latest earnings report as Palantir effectively capitalized on the AI revolution, addressing concerns about its commercial demand.
At the same time, the expansion in commercial ventures failed to meet the expectations of research firm William Blair’s Louie DiPalma. DiPalma, the analyst, contends that Palantir’s commercial growth trajectory is unsustainable. Furthermore, he expressed disappointment with the company’s government revenue growth rate.
Palantir (NYSE: PLTR) Stock Performance
PLTR stock surged 3.86% to close at $24.51 on Thursday. The traders had exchanged hands with 211,686,394 (211.68 million) shares compared to the average daily trading volume of 64.69 million.
Latest News on Palantir Technologies Inc (PLTR) Stock
Salman Akhtar is a finance, stocks, and technology journalist with years of experience across various news organizations. He has contributed his expertise to outlets such as 24NewsHD, TrimFeed, The Voice Pakistan, and TheTechBasic. Salman is passionate about making complex topics accessible to a broad audience. His dedication to delivering accurate and timely information has established him as a trusted voice in the industry. Read Full Bio
