Palantir stock surged as excessive as 8.7 p.c on Wednesday after the company revealed it had scored a profitable contract with the US Army.
The secretive Silicon Valley firm, which was co-founded by tech tycoon Peter Thiel, mentioned late Tuesday that the Army would pay $823 million for its “Gotham” platform, an information and analytics system designed to assist course of giant quantities of knowledge from disparate sources.
“This capability will field modern data integration, correlation, fusion, and analytic capabilities that prepare the Army for the next fight against emerging near peer threats,” Palantir said in a release.
Palantir, which went public final year and is valued at $47 billion, gained the contract over UK protection company BAE Systems. Both corporations had been named as finalists for the deal in February 2020.
About half-hour after markets opened Friday, Palantir stock was buying and selling up 4.5 p.c at $24.26, whereas BAE stock had fallen 1.3 p.c to $30.66, in keeping with MarketWatch information.
Palantir, which depends largely on contracts with authorities companies for income, has by no means reported an annual revenue within the 17 years because it was based. That hasn’t stopped its stock from surging 163 p.c because the company went public final September.
Palantir’s CEO, Alex Karp, raked in additional than $1.1 billion in whole compensation in 2020, making him one of many highest-paid chief executives in historical past.