Apple and Palantir shares declined in premarket trading Tuesday after both companies released earnings following Monday’s market close. Apple was down 3.8%, while Palantir fell 7.8%.
Apple reported fourth-quarter revenue above expectations but missed estimates for iPad sales. Its margin outlook also disappointed investors. The results were the company’s first earnings report since John Ternus became CEO, replacing Tim Cook in September.
Apple said memory costs increased compared with the June quarter, as the company faces a global memory shortage and competition for computer components. Ternus said Apple had completed its “best fiscal year ever” despite higher prices. He also told CNBC that growth came amid supply constraints and foreign-exchange headwinds.
Leverage Shares senior research analyst Violeta Todorova said investors were concerned about profitability, citing memory costs and the expense of rolling out Siri AI. She also said memory shortages could constrain Mac and iPad supply as demand exceeds plans. Apple shares have risen 25% in 2026, Todorova noted, leaving little room for disappointment.
Palantir beat Wall Street’s third-quarter estimates, with U.S. commercial revenue exceeding government revenue for the first time. The company said revenue nearly doubled year over year and surpassed $2 billion for the first time.
However, William Blair said in a Tuesday note that growth in U.S. commercial total contract value bookings had slowed. A Piper Sandler note said investors would look for evidence in coming quarters that the 11% growth rate was temporary rather than structural. The firm said it believed the slowdown was temporary and that demand for Palantir’s solutions continued to exceed supply.
Sources: CNBC Markets.