Alex Karp: Retail Traders Are ‘Fighting for the Right Side’ After Strong Q3 Results

Alex Karp, the outspoken CEO of Palantir Technologies (PLTR), has become something of a rallying figure for retail traders following the company’s strong third-quarter performance. On the earnings call, Karp directly addressed individual investors, saying they are “fighting for the right side” of what he called a major technology shift. 

This message resonated in trading communities, especially among those closely following the intersection of artificial intelligence, government contracts, and the broader stock market. 

With Palantir widely considered one of the more important AI stocks, Karp’s comments highlight how the company sees itself not only as a software player, but as part of a much larger narrative in national security, commercial intelligence and the democratization of AI.

Palantir’s Q3 Performance: Strong Numbers, Mixed Reaction

Palantir delivered a powerful third quarter, posting revenue of roughly $1.8 billion, which represented a nearly 63% year-over-year increase, according to its investor materials. U.S. commercial revenue surged an impressive 121% year-over-year, driven by large deals across enterprise and government clients. On the call, Karp called the growth “otherworldly.” 

Yet, even after such a strong quarter, the stock did not celebrate the way many might have expected. In the after-hours trading session, the share price dropped. Analysts attributed the decline to heightened valuation concerns and the fact that expectations were already very high.

Nonetheless, Karp saw an opportunity to speak to the retail crowd. He praised individual shareholders, calling them “sane people who put up their own money” and saying they are “fighting for the right side” of what companies like Palantir represent. 

Why Karp’s Message Resonates with Retail Traders

Karp’s comments hit a nerve in a market where retail traders are actively seeking stocks tied to “the next big theme.” Palantir straddles two of those themes: national security/government software and enterprise AI, placing it firmly in the stock research spotlight. Retail investors often view Palantir as more than a software company; they see it as a mission-driven outfit aligned with tech trends that extend far beyond the typical consumer-tech space.

About 55.6% of Palantir’s shares are held by individual investors, which is higher than many large tech companies. That high retail ownership means that Karp’s words are taken seriously. For many of these investors, he is more than a CEO; he is a symbol for a growing movement of investors who believe they can back companies reshaping technology and society.

What the Strong Quarter Really Means

The fundamentals behind Palantir’s Q3 results are strong. The company closed more than 53 deals worth at least $10 million each in the quarter, and its contract backlog surged 151%. Palantir also raised its full-year 2025 revenue guidance into the 53%–54% growth range, well above what many analysts had expected.

From an investor’s point of view, the company’s ability to scale its commercial business, expand into new sectors and maintain strong margins adds to its appeal among AI-focused growth stocks. For those doing deeper stock research, Palantir is not just riding the AI wave; it is helping build the infrastructure for the wave, through its Foundry, Gotham and Apollo platforms.

However, running at a high growth rate and scaling rapidly also invites questions around sustainability. Investors will closely watch Palantir can maintain this growth pace as competition intensifies and margins come under pressure. Valuation multiples are large, so any hint of softness could lead to sharp market reactions.

The Retail Angle & The Stock Market Dynamic

One of the most compelling parts of this story is the role of individual investors. Karp’s message to the retail base is rare among top-tier tech companies; many CEOs avoid engaging directly with retail traders. But in this case, Karp embraced the crowd. He painted retail investors as partners on “the right side” of history, aligning the company’s mission with their stake in the stock.

Retail traders, for their part, have been monitoring Palantir closely. According to market-data trackers, sentiment on platforms like Stocktwits and Reddit discussion rooms spiked on the Q3 call. A high volume of messages and commentary followed Karp’s remarks, suggesting that the company’s narrative is resonating.

In the broader stock market, this interplay between a company’s story, executive leadership and retail-investor sentiment can create momentum. But it also introduces risk: when valuations are high and sentiment drives price, any miss or weak guidance may spark steep reversals.

Key Metrics and What to Watch

Investors and analysts are now focused on several metrics as Palantir moves forward:

• Commercial revenue growth: The 121% jump in U.S. commercial business is a standout, but sustaining anything close to that will be important.
• Profit and margin trends: While revenue growth grabs headlines, quality of earnings and margin performance matter for long-term stock stability.
• Guidance and backlog: The raised guidance is positive, but future guidance, deal wins and backlog build will test the durability of growth.
• Retail sentiment outcomes: With such high individual investor ownership, Palantir’s share price may respond more to sentiment shifts than other high-cash-flow companies.
• Valuation and execution risk: Even with strong performance, high valuation means the stock needs continued delivery to justify its price.

This is where the stock research community is deeply focused. For investors tracking AI stocks, Palantir can be seen as a dual-theme play: AI software and national-security tech. But high expectations mean even minor disappointments may lead to outsized moves.

Why this Story Matters Beyond Palantir

The combination of growth, retail engagement and mission-driven leadership that Palantir embodies is increasingly seen across segments of the technology market. Other companies in the AI and data analytics ecosystem may find that narrative power matters as much as fundamentals.

For the broader stock market, Palantir’s Q3 results and Karp’s comments serve as a case study of how companies are aligning with retail sentiment and thematic investing in AI. Executives who engage directly with individual investors and build a story that connects mission, technology and ownership may find a more loyal investor base.

That does not eliminate risk, and Karp’s high-profile style and provocative comments have sparked debate among Wall Street analysts. Still, the intersection of technology, nation-state systems and individual investing is something many market watchers believe will play a meaningful role in the next decade.

Conclusion

In a tech landscape where few CEOs address retail shareholders directly, Alex Karp stood out by framing Palantir Technologies as more than just another company; it’s a cause. His remarks, that retail traders are “fighting for the right side,” are a reflection of the culture he is cultivating at the company and the investor base that believes in it.

The strong Q3 results were solid, and the raised guidance is encouraging. But with the stock already running ahead, the challenge now is execution, margin management and sustaining commercial momentum.

For those investing in AI stocks and doing stock research, Palantir remains a name to watch, both for its technology and its unique engagement with the individual investor.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.