Palantir Technologies shares skyrocketed 29.5% on Tuesday after the data-analytics and AI software company delivered what executives and analysts alike described as "otherworldly" second-quarter results.

The company reported total revenue of $1.94 billion for Q2 2026, up 93% year over year and 19% quarter over quarter. U.S. commercial revenue surged 149% year over year, and GAAP earnings per share came in at $0.41. Management raised full-year 2026 revenue guidance to between $8.15 billion and $8.16 billion — up from a prior range of $7.65 billion to $7.66 billion — representing roughly 80% annual growth.

For the third quarter, Palantir guided to approximately $2.16 billion in revenue, well above consensus. Executives pointed to record numbers of deals worth more than $1 million and an aggressive push into "sovereign AI" — government-backed AI infrastructure projects — as key growth drivers. On the earnings call, management called the guidance raise the largest in the company's history.

The surge reverses a brutal stretch for the stock, which had fallen roughly 30% this year before the report despite its central role in the AI trade. The results land in a week when investors are scrutinizing AI-related spending across the sector — and Palantir's blowout numbers offered a bullish counterpoint to concerns about a bubble.

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