The company has not let up. Palantir Technologies recently reported one of its best quarters ever, continuing a run of growth driven by new enterprise partnerships that keep adding to its top line.
One of the most recent moves sees Palantir teaming up with PwC U.S., which ranks among the nation’s biggest professional services firms. The company has also forged partnerships in recent months with Nvidia, the U.S. Army, insurance giant GNP Seguros, and marketing firm Zeta Global.
The stock trades with a market value of around $419 billion, and it has moved up roughly 1,600% since its first sale to the public. Over the last 52 weeks, the price has risen by 9%. That record raises the question: is Palantir stock still worth buying today?
Record Growth in the Second Quarter
Palantir’s revenue rose by 93% year-over-year in the second quarter of 2026, reaching $1.935 billion. The company has never grown faster.
The American portion of Palantir’s operations made up more than 81% of its entire earnings, and it increased 115% year-over-year and 23% from one quarter to the next to reach $1.573 billion. Commercial income within the United States rose 149%, while government income there grew 90%.
Chief Financial Officer David Glazer said the company closed $2.132 billion in U.S. commercial bookings for the quarter. That is close to $800 million above its previous record.
Palantir posted $1.22 billion in adjusted free cash flow, giving it a margin of 63%. Its net dollar retention rate came in at 157%. The company pushed up its full-year revenue guidance to land between $8.15 billion and $8.158 billion.
The PwC Alliance and Its Goals
PwC U.S. and Palantir made a joint announcement on Sept. 3, expanding their strategic alliance. The partnership centers on “scaling enterprise AI, transforming mergers and acquisitions, and modernizing enterprise resource planning (ERP) systems.”.
The two companies are introducing what they call the industry’s first AI-native deals platform, built on Foundry and Palantir’s AI Platform. The goal is to help companies complete mergers, acquisitions, and divestitures “up to 50% faster while reducing one-time transaction costs up to 45%.”
Patrick Pugh, who leads PwC Global and U.S. Alliance & Ecosystems, made the remarks in a statement, according to “AI’s greatest opportunity isn’t in isolated use cases — it’s in fundamentally changing how enterprises operate,”.
Sameer Kirtane, who leads U.S. commercial sales at Palantir, said the partnership brings together Palantir’s technology with PwC’s “business transformation expertise to turn complex data and regulatory challenges into real business outcomes.”
A String of Recent Partnerships
Palantir’s recent partnership with PwC is part of a larger pattern of enterprise agreements for the company, which has pursued new contracts with vigor across many fields.
A quick review shows the alliances Palantir has formed over the past few months.
| Partner | Industry |
|---|---|
| PwC U.S. | Professional services |
| Nvidia | AI hardware |
| U.S. Army | Government |
| GNP Seguros | Insurance |
| Zeta Global | Marketing |
There is a clear pattern here: Palantir is not putting all its eggs in one basket. The company has moved into commercial work, government contracts, insurance, marketing, and professional services, and it is doing so across all of these areas at once.
Why the Growth Is Accelerating
Several factors explain the continued growth:
- U.S. commercial acceleration: U.S. commercial revenue grew 149% year-over-year, the fastest segment in the business.
- Government strength: U.S. government revenue grew 90% year-over-year.
- Record bookings: $2.132 billion in U.S. commercial bookings, nearly $800 million above the prior record.
- High retention: Net dollar retention of 157% means existing customers are spending significantly more over time.
- Cash generation: $1.22 billion in adjusted free cash flow at a 63% margin.
- Raised guidance: Full-year revenue guidance now sits at $8.15 billion to $8.158 billion.
- New partnerships: The PwC, Nvidia, U.S. Army, GNP Seguros, and Zeta Global deals expand the company’s reach.
The numbers tell a consistent story. Growth is accelerating, not slowing.
What the Bull Case Rests On
The argument in favor of Palantir stock hinges on the notion that companies are only just beginning to adopt AI. The company’s Foundry and AI Platform exist to assist large organizations in deploying AI across their real-world operations.
A merger or acquisition is a complicated, data-heavy process. Palantir’s technology can speed up how that data gets processed and cut costs while doing it. The PwC partnership works well as an example of this arrangement. PwC brings the consulting muscle and client relationships to the table.
The figures back up the bullish case for the company. A net dollar retention rate of 157% shows that users typically increase how much they use Palantir over time. That kind of growth compounds itself.
A high free cash flow margin, such as 63%, is significant for Palantir’s business model. The firm is turning revenue into cash at a strong pace, which grants it room to fund new offerings, sales efforts, or possible takeovers.
The Risks to Consider
There is no denying the hazards involved with this stock. Its market value sits at roughly $419 billion, which carries significant expectations. And the 1,600% return since the company went public suggests much of the positive news has already been accounted for in its price.
A rise of 9% over 52 weeks is modest by the company’s earlier standards. This may point to a period of consolidation, or it may show that shareholders are watching to see whether the growth pace lasts.
Sustainability is another issue worth considering. A year-over-year revenue increase of 93% is certainly impressive, yet it is simpler to achieve rapid growth when starting from a smaller foundation. Once the revenue base expands, keeping up with that same rate of expansion becomes increasingly difficult.
While the alliances provide assistance, they also bring about execution risk, since deals can be announced and then take time to produce measurable revenue.
The Government and Commercial Split
The government continues to account for a large share of Palantir’s business. In the second quarter, government revenue rose 90%, which was solid growth, even if it lagged behind the pace set by commercial customers.
Revenue from commercial customers is increasing at a quicker pace than government work. U.S. commercial revenue rose 149% year-over-year, outpacing the government segment’s growth. This change carries significance for how the company will look over the longer term.
A High Bar for the Rest of the Year
The company’s outlook calls for total revenue between $8.15 billion and $8.158 billion for the entire year. The numbers from the second quarter show what the business can achieve when it performs at its best. To meet the guidance, Palantir must sustain that performance into the remaining two quarters.
Recent announcements have filled the partnership pipeline, with PwC, Nvidia, the U.S. Army, GNP Seguros, and Zeta Global all joining as new partners.
Palantir’s growth is at an all-time high, with revenue, bookings, retention rate, and cash flow all moving in the same upward direction.
Palantir’s partnership with PwC represents a significant move toward the enterprise consulting market, extending the company’s reach further into that sector.
Since its initial public offering, the stock has already generated vast gains. The question of whether those returns keep coming will depend entirely on whether the company’s growth can endure.
Management’s raised guidance points to confidence that the strong performance seen in the second quarter will keep going.
Investors do not need to wonder if Palantir is expanding. The real question concerns whether that expansion has already been built into what the stock costs.
The verdict is subjective, but the evidence is plain: Palantir operates with real skill, and there’s no indication that its momentum will ease.
Source: finance.yahoo.com
Get the Notebook.
The day's best stories and every fresh verdict, in plain English, in your inbox by seven. One email a day, no more.