Performance continues to explode! Under the AI frenzy, Palantir (PLTR.US) government and enterprise orders are pouring in nonstop, with Q3 revenue and profits both soaring wildly.

Thanks to the rapid growth of artificial intelligence (AI) and data analysis products, Palantir Technologies Inc (PLTR.US), a big data analytics company in the United States, reported better-than-expected results for the third quarter and significantly raised its annual revenue outlook. According to the financial report, revenue for the quarter ending in September increased by 63% year-on-year to $1.18 billion, exceeding analysts' average estimate of $1.09 billion, marking the second consecutive quarter above the $1 billion mark. Net profit more than doubled year-on-year, increasing from $143.5 million ($0.06 per share) to $475.6 million ($0.18 per share). Adjusted earnings per share were $0.21, higher than the market's expectation of $0.17. Compiled data shows that Palantir has exceeded revenue expectations for 21 consecutive quarters. Looking ahead, Palantir expects fourth-quarter sales to reach $1.33 billion, compared to the market consensus of $1.19 billion. For the full year, the company expects revenue to reach approximately $4.4 billion, higher than Wall Street's forecast of $4.17 billion. The company also raised its full-year free cash flow outlook to a range of $1.9 billion to $2.1 billion. "We are currently in dizzying heights of growth," said Palantir CEO Alex Karp in an interview. "No other company can reach this level at the moment." After the financial report was released, Palantir's stock price rose by 7% in after-hours trading, but most of the gains were later reversed. The market has high hopes for the company, with its stock price up over 150% year-to-date. As of last Friday, the stock's price-to-sales ratio based on the next 12 months' expected revenue was as high as 85 times, making it one of the most highly valued stocks in the S&P 500 index. As one of the biggest beneficiaries of the AI wave, Palantir provides AI software solutions to government agencies and businesses and has become an important technology partner for the United States and its allies. Founded in 2003 by Peter Thiel and the venture capital arm of the CIA, the company's core software can integrate diverse data sources and assist decision-making with AI toolsboosting efficiency and cost-effectiveness in the corporate setting and shortening the response time from threat discovery to action on the battlefield. The company's commercial business is growing rapidly, especially in the US market. In the third quarter, its US commercial client sales increased by 121% year-on-year to $397 million, with the total value of signed commercial contracts more than quadrupling to $1.31 billion. In recent weeks, the company announced new partnerships with Snowflake (SNOW.US), Lumen (LUMN.US), and NVIDIA Corporation (NVDA.US). Despite the US government shutdown lasting into its second month, potentially jeopardizing some key contracts, Palantir's government business continues to perform strongly, with third-quarter revenue surging by 52% to $486 million. It is understood that government sales, especially orders from military institutions, have been a key driver of Palantir's continued growth. In recent years, the company has gradually replaced multiple traditional government services contractors and recently secured a contract worth up to $10 billion with the US Army. However, Palantir has faced controversy for its tools being used by government agencies such as the US Immigration and Customs Enforcement. Since its direct listing in 2020, Karp has garnered a large following among retail investors, who affectionately refer to him as "Daddy Karp" on the Reddit forum. At the same time, he has always kept a distance from Wall Street and has consistently supported the company's strong stance in supporting Israeli and US border enforcement agencies. In a typically exaggerated letter to investors, Karp stated that the company's valuation reaching $488 billion "has left many financial analysts and commentators confused, as their analytical frameworks completely failed to anticipate how a company of this scale could grow at such a rapid and sustained pace." "In fact, Palantir has given retail investors returns that only the most successful venture capitalists in Palo Alto could achieve in the past," he wrote, "and we have achieved this through real and solid growth." Despite admitting in a recent interview that the current AI market is overheated, Karp predicted that some companies will face challenges. However, he also bluntly stated, "The strong will remain strong, and those impostors will soon be eliminated." Karp also expressed a patriotic stance in the letter, praising the advantages of the United States. He quoted the poet William Butler Yeats, saying, "Things fall apart; the center cannot hold," and added, "Today, America is the anchor of the global order and must stand firm." In addition to participating in US defense projects, Palantir has recently reached agreements with allied countries such as Poland to jointly conduct technical breakthroughs in cybersecurity and AI areas.