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Palantir Stock Falls on Report of Improper Data Access

One of Palantir's software programs used by the FBI gave unauthorized workers access to private data, the New York Post said.
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Palantir Technologies  (PLTR) - Get Free Report shares fell Wednesday, after a New York Post report that one of its software programs used by the FBI gave unauthorized workers access to private data.

The information came in a letter from Manhattan federal prosecutors in the court case against accused hacker Virgil Griffith, the Post said.

At least four FBI employees, all outside New York and not on the team investigating Griffith, had access to data through the Palantir software for at least a year, the prosecutors said.

That data was recovered from Griffith’s Facebook and Twitter accounts, thanks to a federal search warrant, the letter said, according to the Post.

Palantir responded in a statement to "There was no glitch in the software. Our platform has robust access and security controls. 

"The customer also has rigorous protocols established to protect search warrant returns, which, in this case, the end user did not follow."

Palantir fell 3% to  $24.35 in the regular session Wednesday. The stock edged higher in after-hours trading.  It has gained 14% in the past three months.

Earlier this month, Palantir reported second-quarter earnings that met Wall Street's expectations and revenue that exceeded them.

The Denver company reported earnings of 4 cents a share, matching the consensus estimate of analysts surveyed by FactSet. Revenue reached $376 million against the estimate of $360 million.

For the third quarter, the company expects $385 million in revenue. Analysts in the FactSet survey are expecting third quarter revenue of $379.4 million.

For the full year, Palantir more than doubled its expectation for adjusted free cash flow to more than $300 million from $150 million.

Earlier this year, Palantir said it was selected by the National Nuclear Security Administration to provide its security platform and related services in an $89.9 million, five-year deal.