It’s a bloodbath once again in the market today. Accordingly, shares of most growth stocks are feeling pain as quad-witching hour in the options market takes hold. For shareholders in Palantir (NYSE:PLTR) this is also the case, with PLTR stock dropping more than 2% at the time of writing.
This decline is notable, because the company actually put forward some positive news today. Palantir announced that it has entered into a new partnership with Integrity Mold & Tool to deploy its foundry product across various segments of Integrity’s business.
With a new partnership in hand, many investors may have expected to see a rally today. However, given the overall nature of the market, being down “only” 2% may be a win.
Let’s dive more into what this announcement entails for investors.
PLTR Stock Dips Despite Key Announcement
In Palantir’s press release, few formal metrics were given. This was cited as a “multi-year, multi-million dollar deal,” though just how significant the deal is in terms of revenue for Palantir is unclear.
However, the significance of this deal is that it is yet another feather in the cap of Palantir’s commercial line of business. Known for its major government contracts, Palantir has been looking to diversify its revenue streams further. This deal is another step forward in this regard.
It’s also interesting to see Integrity tap Palantir as its partner in driving a digital transformation at the company. Should more corporations choose to deploy Palantir Foundry, perhaps more visible, significant growth in this segment could boost the company’s stock price.
Unfortunately, the market is looking through any such news items today. It’s another day where valuations are being taken down, as the economic outlook for 2023 remains muted. Thus, until the next bull market rally, PLTR stock may continue to be under the microscope.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.