PALANTIR TECHNOLOGIES INC-A (NASDAQ:PLTR) stands out as a compelling candidate for investors following Louis Navellier’s growth strategy. The company meets multiple criteria outlined in The Little Book That Makes You Rich, demonstrating strong earnings momentum, accelerating revenue growth, and improving profitability. Below, we examine why PLTR aligns with these principles.
Key Strengths Supporting Growth
Earnings Revisions & Surprises: Analysts have raised EPS estimates for the next quarter by 4.75% over the past three months. PLTR has also exceeded earnings expectations in three of the last four quarters, with an average surprise of 10.13%.
Revenue Growth: Sales increased 33.45% year-over-year, while quarterly revenue surged 39.34%, indicating strong demand for its software platforms.
Expanding Profitability: Operating margins improved by 54.48% over the past year, reflecting better cost management and pricing power.
Strong Cash Flow: Free cash flow grew by an impressive 280.96%, providing flexibility for reinvestment and innovation.
Earnings Momentum: Quarterly EPS growth accelerated to 62.5%, up from 60% in the prior-year period.
High Return on Equity (ROE): At 10.52%, PLTR’s ROE outperforms 79% of its software industry peers.
This is not investing advice! The article highlights observations at the time of writing, but you should conduct your own analysis before making investment decisions.