PLTR · Q2 FY2026
Palantir Technologies Inc. Q2 FY2026 earnings analysis
By SageNoodle ResearchBullish
| Metric | Actual | Estimate | Result |
|---|---|---|---|
| Revenue | $1.935B | $1.004B (yr ago) | Beat |
| EPS | $0.41 diluted GAAP | $0.13 (yr ago) | Beat |
| Free Cash Flow | $1.202B GAAP | $0.532B (yr ago) | Beat |
| Gross Margin | 84.7% | 80.8% (yr ago) | Beat |
| Operating Margin | 47.1% GAAP | 26.8% (yr ago) | Beat |
What changed
Revenue increased 93.0% year over year to $1.935 billion, while GAAP operating margin expanded 20.3 percentage points to 47.1%. U.S. commercial revenue grew 149.0%, GAAP free cash flow more than doubled to $1.202 billion, and management raised FY2026 revenue guidance to a midpoint of $8.154 billion.
Impact on the investment thesis
There was no prior SageNoodle fair value to revise, so this quarter establishes a base-case fair value of $105.20. The operating thesis strengthened materially, but the $165.86 share price still requires growth and margins closer to the bull case than the base case.