This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Shares of Palantir Technologies (NASDAQ: PLTR) charged out of the gate on Tuesday, spiking as much as 27.7%. As of market close, the stock was still up 23.99%.

The catalyst that sent the artificial intelligence (AI) software and data mining specialist soaring was the company's quarterly financial report and bullish commentary from management that suggests the AI revolution has much further to run.

You can't spell gains without "AI"

In the fourth quarter, Palantir generated revenue that accelerated to 36% year over year (and 14% sequentially) to $828 million. This resulted in adjusted earnings per share (EPS) of $0.14, which soared 75%.

To give the results context, analysts' consensus estimates were calling for revenue of $782 million and adjusted EPS of $0.11, so Palantir cleared both hurdles with ease.

The U.S. commercial segment was the star of the show. Revenue surged 64% year over year and 20% quarter over quarter to $214 million, as waves of new customers flocked to Palantir's Artificial Intelligence Platform (AIP). The segment's customer rolls grew 73% year over year, while its remaining deal value -- or sales that have not yet been recognized as revenue -- soared 99%. Not only was new customer acquisition strong, but existing customers were spending more, as evidenced by a net dollar retention rate of 20%.

Bullish outlook

While there have been questions about the staying power of AI, CEO Alex Karp seemed to put those issues to bed. In the company's shareholder letter, he posited, "We are still in the earliest stages, the beginning of the first act, of a revolution that will play out over years and decades."

To punctuate the already robust quarter, management provided full-year guidance that was well ahead of Wall Street's expectations, calling for revenue of roughly $3.75 billion, which would represent year-over-year growth of 31% at the midpoint of its guidance. Palantir also expects U.S. commercial revenue to increase 54%, up from expectations of 50% issued just last quarter.

To be clear, the stock is currently selling for 192 times next year's expected earnings, so it isn't for the faint of heart. This is a great candidate for buying on the dip or dollar-cost averaging.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.