Stocks of Palantir Technologies (PLTR 5.81%) are falling today in spite of gains for the more comprehensive market.

Shares of Palantir Technologies (PLTR 5.81%) are dropping today regardless of gains for the broader market. The firm’s stock was down roughly 4.8% since 12:40 p.m. ET Wednesday in conjunction with the announcement of a new collaboration with Jacobs Engineering Team (J 0.14% ). At the same time, Jacobs’ share cost was up approximately 2.8%.

Palantir stock forecast┬áhas been volatile in recent months and also has actually seen particularly stormy trading following its fourth-quarter report in mid-February, so it’s tough to state just how much these days’s motion is attached to the information of the Jacobs partnership or other catalysts at play.

It’s possible that some investors see partnering with Jacobs– rather than creating inside created, fully owned solutions– as an adverse indicator regarding the firm’s growth potential customers.

A chart line and also arrowhead moving down.
Photo source: Getty Images.

So what
Jacobs published a news release today introducing that it had created a collaboration with Palantir to produce data and modern technology services for the facilities as well as nationwide safety markets. The very first software program created by the companions will certainly be a data-analytics offering for public- as well as private-sector consumers in water-infrastructure solutions. It will certainly concentrate on using information analysis to boost the operation and also maintenance of water as well as wastewater treatment plants.

That hardly sounds like bad news in its own right, yet capitalists could be drawing negative inferences regarding what the collaboration recommends concerning Palantir’s abilities as well as growth expectation.

Palantir stock has actually slipped roughly 17% since the company reported its fourth-quarter outcomes on Feb. 17. It handled to grow earnings 34% year over year to reach $433 million, however financiers were generally let down to see profits from federal government customers expand only 26% year over year in the duration.

Rather than checking out the brand-new partnership with Jacobs as a possibility to speed up growth in the infrastructure-services space, it appears the market could be let down that Palantir isn’t readying services by itself or collaborating with one more potential companion.

Palantir now has a market capitalization of about $24 billion and also is valued around 12 times this year’s expected sales and also 59 times expected adjusted revenues.