Driven by the robust demand for its Artificial Intelligence Platform (AIP), Palantir Technologies (NYSE:PLTR) shares surged almost 14% in premarket trade Tuesday following the data analytics firm's disclosure of solid Q3 earnings. With sales of $725.5 million surpassing Wall Street's $705.1 million, the company showed a 30% YOY and 7% QOQ gain.

Maintaining its Outperform rating, Wedbush Securities increased its price target for Palantir shares from $45 to $57, under the direction of analysts headed by Daniel Ives, who said it was a "eye-popping quarter" for the "Messi of AI growth stories." The company underlined that while new customer conversions and enlarged transactions hastened the adoption of Palantir's AI solutions, U.S. commercial revenue increased 54% YOY, surpassing analyst forecasts.

• Warning! GuruFocus has detected 6 Warning Signs with PLTR.

With each top 20 customer earning $60 million, Palantir's revenue climbed as well, representing a 12% rise from last year. As AIP keeps generating both new business and expansions with current customers, Palantir updated its 2024 projection, projecting total revenue between $2.805 billion and $2.809 billion.

This article first appeared on GuruFocus.