Palantir Technologies Reports 'Unprecedented' Demand for AI Platform

Company's stock jumps 23.4%
By Newser Editors and Wire Services
Posted May 9, 2023 3:58 PM CDT
Palantir Technologies Reports 'Unprecedented' Demand for AI Platform
The New York Stock Exchange is seen in New York, Wednesday, May 3, 2023.   (AP Photo/Seth Wenig)

Wall Street dipped on Tuesday following some mixed earnings reports, as stocks remain roughly where they’ve been stuck for more than a month. The S&P 500 fell 18.95 points, or 0.5%, to 4,119.17. The Dow Jones Industrial Average lost 56.88, or 0.2%, to 33,561.81, while the Nasdaq composite fell 77.36, or 0.6%, to 12,179.55. Paypal fell 12.7% despite reporting better profit and revenue for the latest quarter than expected, the AP reports. Analysts pointed to its forecast for how much profit it expects to wring out of each $1 of revenue, which may have disappointed some investors.

Electric automaker Lucid Group dropped 5.6% after reporting a worse loss than expected for the latest quarter. Skyworks Solutions sank 5.2% after reporting profit for the first three months of the year that matched forecasts. The company’s comments about weakness in demand from China for Android phones may have frightened investors. On the winning side of Wall Street was Palantir Technologies. It soared 23.4% after reporting a stronger profit than expected and saying demand for its new artificial intelligence platform "is without precedent."

So far this earnings reporting season, which is approaching its final stretch, the majority of companies have been topping forecasts for first-quarter results. That’s largely because expectations were set quite low due to a slowing economy and high interest rates. Companies in the S&P 500 are still on track to report a second straight quarter of weaker profits from year-earlier levels. The better-than-feared results have given some support to Wall Street even as many other worries are weighing on it. The next big milestone for the market will be Wednesday’s report on inflation at the consumer level. (More stock market stories.)

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