3 Reasons to Buy Palantir, and 1 Reason to Sell

Palantir's (NYSE: PLTR) stock surged on Aug. 12 after the data mining and analytics company posted its second-quarter earnings. It beat Wall Street's estimates on the top and bottom lines, then provided a rosy outlook for the third quarter that surpassed analysts' expectations.

Should investors consider buying Palantir, which has been a volatile stock since its direct listing last September? Let's weigh three reasons to buy the stock -- against one reason to sell it -- to decide.

Palantir's second-quarter revenue rose 49% year over year to $376 million, beating estimates by $14.5 million and matching its growth in the first quarter. It closed 62 deals worth $1 million or more, gained 20 new customers, and its average revenue per customer rose 19% year over year to $7.9 million.

Source Fool.com