Wedbush analyst Dan Ives is out with an early reaction to Palantir Technologies Inc.’s PLTR “eye-popping” results, featuring beats across the board.

What To Know: Palantir, which Ives calls “The Messi of AI,” beat analyst estimates on the top and bottom lines when it reported third-quarter financial results after the market close on Monday.

Total revenue jumped 30% year-over-year as the company’s customer count grew 39%. Palantir issued fourth-quarter guidance above estimates and raised its full-year outlook across all metrics, citing “unrelenting AI demand that won’t slow down.”

“Palantir delivered another robust quarter featuring beats across the board as the company continues to see accelerated deal momentum with AIP front and center,” Ives wrote in a new note to clients following the print.

The Wedbush analyst noted that potential re-ratings are focused on U.S. Commercial strength, which remained robust in the quarter. Ives also noted U.S. Government revenue was a bright spot in the quarter with 40% year-over-year growth.

“Despite the skeptics honing in on valuation for the past year, this was a major quarter to prove that PLTR’s partner ecosystem expansion and AIP bootcamps hit another gear,” Ives said.

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Palantir said it closed 104 deals worth over $1 million during the quarter. Ives explained that more and more companies are turning to Palantir to meet the rising demand for enterprise-scale generative AI solutions. He also noted Palantir is gaining share in the AI revolution.

Ives sees Palantir’s strong forward guidance as evidence that the company continues to drive pipeline growth for its AI platform AIP. Palantir guided for fourth-quarter revenue of $767 million to $771 million, which Ives said is “well ahead” of Street estimates. He also highlighted that the full-year guidance raise indicates that demand for Palantir solutions continues to accelerate, especially on the commercial side of the business.

The Wedbush analyst maintained an Outperform rating on Palantir stock following the print. It’s likely that the firm will update its price target after it digests all of the reported information for Palantir’s latest quarter.

“We look forward to hearing more on the conference call tonight regarding further momentum around AIP conversion, U.S. commercial strength, government deal cycles, and more details about its Warp Speed product,” Ives said.

PLTR Price Action: Palantir shares were up 12.77% in after-hours, trading at $46.70 at the time of publication Monday, according to Benzinga Pro.

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