Options Market Statistics: Palantir Falls As Analyst Raises Questions Over Army Contract Renewal, Options Pop

William Blair analyst Louie DiPalma, who rates PLTR stock underperform, published a note published Friday speculating on the future of a four-year, $458 million Army contract which is set to expire. Citing a U.S. Army presentation last week, DiPalma wrote that there is "strong indication that Palantir's renewal contract in two weeks will be significantly less than the original $458 million."

He also said the Army might offer a new two-year renewal for $116 million with Palantir's revenue reduced by additional vendors sharing in the deal.

The William Blair analyst speculated that data ownership could be an issue between the Army and Palantir. Palantir aims to use customer data to train artificial intelligence models.

As reported in tech industry site The Information and disseminated by other media outlets, Google has postponed the launch of its next-generation artificial intelligence (AI) model Gemini. The service was originally slated to be unveiled next week at a series of events, but this introduction has been rescheduled for early next year. Details about the future date and time were not provided.

What was offered was the reasoning behind the delay; apparently there are concerns withing the company that Gemini didn't perform as well as expected when fed certain inputs not written in English.

Gemini is an eagerly awaited product. According to industry scuttlebutt, it notably outperforms the consumer AI app of the moment, OpenAI's ChatGPT. It also apparently represents a significant step up from Bard, Google's current AI offering.

Alphabet has not yet officially commented on the reports about Gemini. Last month, the company's CEO Sundar Pichai was quoted as saying that it was "focused on getting Gemini 1.0 out as soon as possible, make sure it's competitive, state of the art, and we'll build from there on."