Apple and Palantir shares drop after earnings as margins and growth outlooks draw scrutiny

Apple and Palantir shares moved lower on November 3 after the companies reported quarterly results and provided updated financial outlooks.

Apple shares declined 4% in early trading. The company posted $114.5 billion in revenue for its fiscal fourth quarter, covering the period that ended September 26, 2026.

Apple’s fourth-quarter gross margin was 47.9%. Tariff refunds contributed roughly one percentage point to that figure, according to the company’s results. For the December quarter, Apple projected gross margin between 45% and 46%.

The anticipated margin contraction was associated with higher memory expenses and spending tied to Siri’s artificial-intelligence capabilities. That outlook put attention on the costs affecting Apple’s profitability even as the company reported substantial quarterly revenue.

Palantir shares fell 8% in premarket trading. The software company said its third-quarter 2026 revenue rose 96% from the same period a year earlier and totaled $2.3 billion.

Palantir’s U.S. commercial business produced $984 million in revenue during the quarter. That represented a 148% year-over-year increase and a 29% rise from the preceding quarter.

The company also lifted its expected full-year 2026 revenue growth to 91%. The combination of strong reported growth and a higher annual forecast contrasted with the decline in Palantir’s shares in premarket trading.

The two reports point to different areas of investor attention. Apple’s results highlighted the effect that costs can have on future margins, while Palantir’s figures emphasized the pace of expansion in its U.S. commercial business and its revised annual forecast.

Apple’s reported margin and December-quarter projection provide the clearest near-term measure of pressure on profitability. Palantir’s quarterly revenue, commercial performance and updated guidance provide the main benchmarks for evaluating whether its growth remains as rapid as the company’s latest results indicate.

For Apple, the next focus is whether the projected 45% to 46% gross-margin range changes. For Palantir, the next focus is whether its U.S. commercial revenue and 91% full-year growth forecast continue to support the company’s growth profile.