Data-mining and analytics company Palantir (NYSE:PLTR) will be reporting earnings tomorrow after market close. Here's what investors should know.

Palantir beat analysts' revenue expectations by 2.7% last quarter, reporting revenues of $634.3 million, up 20.8% year on year. It was a mixed quarter for the company, with a miss of analysts' billings estimates.

Is Palantir a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Palantir's revenue to grow 22.3% year on year to $652.4 million, improving from the 12.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.08 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Palantir has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 1.2% on average.

Looking at Palantir's peers in the data and analytics software segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Commvault Systems delivered year-on-year revenue growth of 13.4%, beating analysts' expectations by 4.2%, and Confluent reported revenues up 24.1%, topping estimates by 2.1%. Commvault Systems traded up 24.1% following the results while Confluent was down 17.6%.

Read our full analysis of Commvault Systems's results here and Confluent's results here.

Inflation progressed towards the Fed's 2% goal at the end of 2023, leading to strong stock market performance. 2024 has been a bumpier ride as the market switches between optimism and pessimism around rate cuts thanks to mixed inflation data, and while some of the data and analytics software stocks have fared somewhat better, they have not been spared, with share prices down 3.7% on average over the last month. Palantir is down 10.9% during the same time and is heading into earnings with an average analyst price target of $23.1 (compared to the current share price of $24.69).

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