According to CNBC, several companies reporting earnings this week could see significant stock price swings based on current options trading activity. The broader earnings season has shown strong momentum with over 80% of companies exceeding revenue or earnings expectations for Q3 according to FactSet data. Palantir is expected to move as much as 8.9% following its Monday earnings report, with analysts projecting $1.09 billion in revenue and 17 cents EPS. Snap faces even greater volatility potential with a projected 13.8% move after Wednesday’s earnings, where Wall Street expects 12 cents EPS on $1.49 billion revenue. This comes as Palantir has surged nearly 400% over 12 months while Snap has declined 28% year-to-date amid user number challenges.
Sponsored content — provided for informational and promotional purposes.
The Great Tech Divide in Real Time
What we’re witnessing with Palantir and Snap represents the growing bifurcation in technology investing that goes far beyond simple earnings metrics. Palantir’s trajectory reflects the massive capital flowing into government and defense technology, particularly as geopolitical tensions drive increased surveillance and military spending. The company’s $10 billion Army contract represents just the beginning of what could become a sustained government procurement cycle. Meanwhile, Snap’s struggles highlight the intense pressure on consumer-facing social platforms that must constantly innovate against competitors like Meta’s Instagram while maintaining user growth in an increasingly saturated market.
Who Wins and Loses in These Volatile Moves
For retail investors, these projected swings create both opportunity and significant risk. The options-implied moves suggest professional traders are positioning for substantial price action, meaning retail investors holding these stocks could see rapid portfolio value changes. Employees at both companies face different pressures – Palantir staff may see continued wealth accumulation through stock-based compensation, while Snap employees confront the psychological impact of declining equity value. Enterprise customers using Palantir’s technology face their own considerations, as the company’s stock performance could influence product development priorities and pricing strategies.
What These Moves Signal About Tech Sector Health
The contrasting fortunes of Palantir and Snap reveal deeper trends about which technology business models are thriving in the current economic environment. Government and enterprise-focused software companies appear more resilient, benefiting from long-term contracts and mission-critical applications. Consumer social media platforms, however, face mounting challenges from advertising market fluctuations, privacy changes, and platform saturation. This earnings week will test whether Palantir can justify its massive valuation premium and whether Snap can demonstrate a viable path to sustainable user growth amid intense competition from Meta and emerging platforms.
Beyond the Numbers: Strategic Positioning Matters
Investors should look beyond the immediate revenue and EPS figures to assess each company’s strategic positioning. For Palantir, the key question is whether its government business can continue driving growth while expanding commercial applications. The company’s ability to leverage its data analytics platform across multiple sectors will determine its long-term valuation. For Snap, the critical metric isn’t just user numbers but engagement depth and monetization efficiency. The platform’s success in developing new revenue streams beyond traditional advertising, particularly through augmented reality and e-commerce integrations, will be crucial for reversing its negative momentum.
