Shares in Apple and Palantir fell in premarket trading on Tuesday after both companies reported earnings after the bell on Monday. Apple was trading 3.8% lower and Palantir 7.8% lower, after the iPhone maker issued a margin forecast that disappointed investors and Palantir reported a slowdown in a key bookings measure even as it beat Wall Street estimates.
Apple reported better-than-expected revenue in its fourth-quarter earnings but fell short of estimates on iPad sales, and its margin forecast disappointed investors. Memory costs were higher in the quarter than in the June period, the company said on Monday.
The report was Apple's first since John Ternus took over as chief executive from Tim Cook in September. The company is reckoning with a global memory crunch and a scramble for computer components.
Ternus told CNBC's MacKenzie Sigalos that Apple had just capped off its "best fiscal year ever", with growth coming in spite of supply constraints and foreign exchange headwinds.
Violeta Todorova, senior research analyst at Leverage Shares, said profitability was a concern. “The concern is profitability,” she said, adding that management had pointed to memory as the main pressure, together with the cost of rolling out Siri AI. She said memory shortages are also expected to limit Mac and iPad supply, as demand has run ahead of plans. Apple shares have risen 25% in 2026, ahead of other big tech names, but Todorova said that premium leaves “little room for disappointment”.
Palantir, meanwhile, beat third-quarter estimates. Revenue nearly doubled from a year earlier and passed $2 billion for the first time, and US commercial revenue topped government revenue for the first time. But the company also reported a slowdown in US commercial total contract value bookings growth, William Blair said in a note on Tuesday.
Piper Sandler wrote in a note on Monday that investors will "no doubt be looking for evidence in subsequent quarters that 11% growth in U.S. commercial TCV bookings is a fluke of duration and not something structural". The firm added: "We believe that is the case and demand for PLTR's solutions still very much outstrip supply."
Analysis
Why This Matters
- Apple's margin guidance is the first read on how rising memory costs are landing at a major device maker, and points to possible knock-on effects for Mac and iPad supply.
- Palantir's slide shows how closely investors are watching commercial bookings growth even when headline revenue beats expectations.
- Both moves set the tone for how the market treats the rest of the sector's earnings this season.
Background
Apple designs and sells the iPhone, iPad and Mac, and its quarterly results are among the most widely watched corporate updates in the world. Palantir sells data analytics software to governments and commercial customers. Apple's report was its first under Ternus, who took over from Tim Cook in September, and it came as the company works through a global memory crunch that has raised component costs across the industry.
Key Perspectives
- Violeta Todorova, Leverage Shares: says the concern is profitability, with management pointing to memory as the main pressure alongside the cost of rolling out Siri AI, and warns that Apple's 2026 share price gain leaves little room for disappointment.
- John Ternus, Apple: says the company has capped off its best fiscal year ever, with growth achieved despite supply constraints and foreign exchange headwinds.
- Piper Sandler: says investors will look for evidence that 11% growth in US commercial TCV bookings is a fluke of duration rather than something structural, and believes demand for Palantir's solutions still outstrips supply.
- William Blair: flagged the slowdown in US commercial total contract value bookings growth in a note on Tuesday.
What to Watch
- Apple's next set of results for further commentary on memory costs and margins.
- Whether memory shortages begin to constrain Mac and iPad supply as demand runs ahead of plans.
- Palantir's US commercial TCV bookings growth in coming quarters, the measure Piper Sandler expects to be a timing effect rather than a structural change.
Checked
12 claims in this story checked against 1 source: 12 supported.
Show each claim
- SupportedTernus said Apple had just capped off its “best fiscal year ever.”US Top News and Analysis: “Ternus said Apple had just capped off its "best fiscal year ever."”
- SupportedTodorova said, “The concern is profitability.”US Top News and Analysis: “"The concern is profitability," said Violeta Todorova, senior research analyst at Leverage Shares.”
- SupportedTodorova said Apple’s premium left “little room for disappointment.”US Top News and Analysis: “Apple shares have risen 25% in 2026, ahead of other big tech names, but that premium leaves "little room for disappointment," Todorova added.”
- SupportedPiper Sandler wrote that investors would “no doubt be looking for evidence in subsequent quarters that 11% growth in U.S. commercial TCV bookings is a fluke of duration and not something structural”.US Top News and Analysis: “Investors will "no doubt be looking for evidence in subsequent quarters that 11% growth in U.S. commercial TCV bookings is a fluke of duration and not something structural," a Piper Sandler note from Monday said.”
- SupportedPiper Sandler wrote, “We believe that is the case and demand for PLTR's solutions still very much outstrip supply.”US Top News and Analysis: “"We believe that is the case and demand for PLTR's solutions still very much outstrip supply."”
- SupportedApple shares fell on its margin forecast, while Palantir shares slipped after earnings.US Top News and Analysis: “Apple shares slide after weak margin outlook; Palantir slumps 8% after earnings.”
- SupportedApple beat revenue estimates but fell short of estimates on iPad sales.US Top News and Analysis: “The iPhone maker reported better-than-expected revenue in its fourth-quarter earnings, but fell short of estimates on iPad sales”
- SupportedApple issued a margin forecast that disappointed investors.US Top News and Analysis: “issued a margin forecast that disappointed investors.”
- SupportedPalantir revenue passed $2 billion for the first time.US Top News and Analysis: “Revenue nearly doubled from a year ago and blew past $2 billion for the first time ever, Palantir said in its earnings report.”
- SupportedApple and Palantir shares fell in premarket trading on Tuesday after both reported earnings after the bell on Monday; Apple was down 3.8% and Palantir 7.8%.US Top News and Analysis: “Apple and Palantir shares fell in premarket trading Tuesday after both announced earnings after the bell on Monday. ... Apple was last trading 3.8% lower, and Palantir was down 7.8% in premarket trading.”
- SupportedPalantir reported a slowdown in U.S. commercial total contract value bookings growth.US Top News and Analysis: “But the company also reported a slowdown in U.S. commercial total contract value, or TCV, bookings growth, said William Blair in a Tuesday note.”
- SupportedPalantir’s U.S. commercial revenue topped government revenue for the first time.US Top News and Analysis: “with U.S. commercial revenue topping government for the first time.”
