Topline
Shares of Palantir fell more than 8% after market open on Tuesday, leading a broader market decline after the software firm reported better-than-expected earnings, as some economists warned of “rally exhaustion” after a meteoric rise for several stocks this year.
One analyst suggested stocks may be suffering from “rally exhaustion.”
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Key Facts
Palantir’s stock decreased 8.1% to around $190 shortly after trading opened Tuesday, pacing what would be the largest single-day drop for the stock since a 9.3% decline in August.
Palantir headlined broader declines across the Nasdaq, with the index down 0.9%, followed by Intel (down 4.7%), Micron (3.1%), Tesla (2.5%), Qualcomm (1.3%), Alphabet (1.1%), Microsoft (0.7%) and PayPal (2.3%).
The Dow Jones Industrial Average and S&P 500 dropped 0.3% and 0.6%, respectively, as Nvidia fell 2%, followed by declines for Boeing (1.9%), Apple (0.2%) and Cisco (1.2%).
Palantir on Monday reported quarterly revenues of $1.18 billion and earnings per share of $0.21, above estimates of $1.09 billion and $0.17, respectively, while also boosting its revenue forecasts for its current quarter to $1.33 billion, above projections of $1.19 billion, according to FactSet.
This is a developing story.