Palantir Technologies ( PLTR -11.92%) stock had plunged 14% as of 10 a.m. ET on Tuesday, May 6, as investors reacted to its first-quarter financial results. The company reported solid results amid continued demand for its artificial intelligence (AI) platform, but the market clearly had higher expectations.

Shares of Palantir Technologies (NASDAQ:PLTR) tumbled 12% Tuesday morning after the artificial intelligence data analytics firm handily beat analyst first-quarter revenue and earnings forecasts while also raising its full-year outlook.

Live Updates Live Coverage Updates appear automatically as they are published. Morgan Stanley Weighs In 10:57 am by Eric Bleeker As of 11:00 a.m. ET, Palantir has erased some earlier losses and is now down 12%.

Palantir Technologies Inc.’s stock is falling more than 13% on Tuesday, despite the company’s solid first-quarter earnings and better-than-expected guidance. “Palantir is on fire,” Chief Executive Officer Alex Karp said on Monday afternoon’s earnings call,

Palantir Technologies (PLTR) is slated to report quarterly results after the market closes on Monday, and investors are positioning for a big stock move. Options pricing suggests traders are expecting Palantir stock to move more than 12% in the days after Monday’s earnings report.