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Should you buy Palantir stock? (May 2024)
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Palantir stock analysis. Ticker: $PLTR
Palantir just reported earnings and the stock dropped about 14%. At the latest share price, the company has a market cap of 51.4 billion dollars. With 3.9 billion of cash and investments and no debt the enterprise value is just under 48 billion.
Revenue over the last 12 months is 2.3 billion with 300 million of net income and 640 million of free cash flow. So Palantir stock is currently valued at 20 times revenue, 173 times earnings and 74 times free cash flow.
Since Palantir went public its had its fair share of critics. Bears initially argued that Palantir was more of a consulting firm than a software company. But Palantir quickly disproved that thesis by growing its gross margins well past 80%.
Next, Palantir was accused of being too reliant on government customers which would hit a natural ceiling in the US. And more lately, critics have argued that Palantir is not a real AI company.
But once again, Palantir has proven its critics wrong. Commercial revenue growth in the latest quarter accelerated to 40% and the company added 41 new customers. Full year guidance was raised to incorporate a 45% increase in commercial revenue.
#palantirstock #stockstobuy #investing #3mb
Palantir just reported earnings and the stock dropped about 14%. At the latest share price, the company has a market cap of 51.4 billion dollars. With 3.9 billion of cash and investments and no debt the enterprise value is just under 48 billion.
Revenue over the last 12 months is 2.3 billion with 300 million of net income and 640 million of free cash flow. So Palantir stock is currently valued at 20 times revenue, 173 times earnings and 74 times free cash flow.
Since Palantir went public its had its fair share of critics. Bears initially argued that Palantir was more of a consulting firm than a software company. But Palantir quickly disproved that thesis by growing its gross margins well past 80%.
Next, Palantir was accused of being too reliant on government customers which would hit a natural ceiling in the US. And more lately, critics have argued that Palantir is not a real AI company.
But once again, Palantir has proven its critics wrong. Commercial revenue growth in the latest quarter accelerated to 40% and the company added 41 new customers. Full year guidance was raised to incorporate a 45% increase in commercial revenue.
#palantirstock #stockstobuy #investing #3mb
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