NYSE:PLTR, a strong growth stock, setting up for a breakout.

In this article we will dive into PALANTIR TECHNOLOGIES INC-A (NYSE:PLTR) as a possible candidate for growth investing. Investors should always do their own research, but we noticed PALANTIR TECHNOLOGIES INC-A showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

Evaluating Growth: NYSE:PLTR

To evaluate a stock's growth potential, ChartMill utilizes a Growth Rating on a scale of 0 to 10. This comprehensive assessment considers various growth aspects, including historical and estimated EPS and revenue growth. NYSE:PLTR has achieved a 8 out of 10:

• The Earnings Per Share has grown by an impressive 316.67% over the past year.
• The Revenue has grown by 16.75% in the past year. This is quite good.
• Measured over the past years, PLTR shows a very strong growth in Revenue. The Revenue has been growing by 30.17% on average per year.
• PLTR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.01% yearly.
• The Revenue is expected to grow by 23.50% on average over the next years. This is a very strong growth

Deciphering NYSE:PLTR's Health Rating

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:PLTR has earned a 8 out of 10:

• PLTR has an Altman-Z score of 30.38. This indicates that PLTR is financially healthy and has little risk of bankruptcy at the moment.
• PLTR has a Altman-Z score of 30.38. This is amongst the best in the industry. PLTR outperforms 98.20% of its industry peers.
• There is no outstanding debt for PLTR. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
• A Current Ratio of 5.55 indicates that PLTR has no problem at all paying its short term obligations.
• The Current ratio of PLTR (5.55) is better than 90.29% of its industry peers.
• PLTR has a Quick Ratio of 5.55. This indicates that PLTR is financially healthy and has no problem in meeting its short term obligations.
• PLTR has a Quick ratio of 5.55. This is amongst the best in the industry. PLTR outperforms 90.29% of its industry peers.

Analyzing Profitability Metrics

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:PLTR has achieved a 5:

• The Return On Assets of PLTR (4.64%) is better than 81.30% of its industry peers.
• Looking at the Return On Equity, with a value of 6.04%, PLTR is in the better half of the industry, outperforming 78.78% of the companies in the same industry.
• With a decent Return On Invested Capital value of 2.51%, PLTR is doing good in the industry, outperforming 74.46% of the companies in the same industry.
• Looking at the Profit Margin, with a value of 9.43%, PLTR belongs to the top of the industry, outperforming 82.37% of the companies in the same industry.
• Looking at the Operating Margin, with a value of 5.39%, PLTR is in the better half of the industry, outperforming 74.82% of the companies in the same industry.
• Looking at the Gross Margin, with a value of 80.62%, PLTR belongs to the top of the industry, outperforming 83.45% of the companies in the same industry.
• PLTR's Gross Margin has improved in the last couple of years.

Looking at the Setup

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:PLTR this score is currently 7:

PLTR has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is very little resistance above the current price. There is a support zone below the current price at 23.49, a Stop Loss order could be placed below this zone.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

Check the latest full fundamental report of PLTR for a complete fundamental analysis.

Our latest full technical report of PLTR contains the most current technical analsysis.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.