Palantir Soars, Merck & Pfizer Dip on Earnings Reports

Key Premarket Stock Movements

U.S. stock futures showed mixed signals as investors processed a new wave of corporate earnings, revealing divergent paths for major companies in the technology and pharmaceutical sectors.

Sector Performance Highlights

The technology sector demonstrated significant strength. Palantir Technologies (PLTR) stock soared 11% after the data analytics group posted record revenue driven by soaring demand for its AI-enhanced tools. Similarly, chip-testing equipment maker Teradyne (TER) surged 20% after forecasting revenue and profit above estimates.

In contrast, the pharmaceutical industry faced headwinds. Merck & Company (MRK) stock fell 1% following disappointing 2026 guidance, while Pfizer (PFE) dropped 2.2% after reporting a year-over-year decline in fourth-quarter revenues amid falling COVID-19 product sales.

Impact on the Market

Other notable gainers included Marathon Petroleum (MPC), up 4.1% after beating profit estimates, and luxury fashion group Capri Holdings (CPRI), which rose 1.8% on better-than-expected results. These individual earnings reports are driving stock-specific volatility.

Summary and Outlook

Corporate performance is the primary market driver, with AI-related technology stocks showing robust growth. Meanwhile, established pharmaceutical giants are navigating challenges from patent expirations and shifting product demand, influencing investor sentiment in the healthcare sector.

FAQ

Q: Why did Palantir's stock surge?

A: Palantir reported record quarterly revenue, underpinned by high demand for its AI-enhanced tools from both government and corporate customers.

Q: What caused Merck and Pfizer stocks to fall?

A: Merck issued a disappointing 2026 guidance, while Pfizer reported a decline in quarterly revenues due to falling sales of its COVID-19 products and significant patent expirations.

Source: Investing.com