PALANTIR TECHNOLOGIES INC-A (PLTR) Stock Fundamental Analysis
NASDAQ:PLTR - Nasdaq - US69608A1088 - Common Stock - Currency: USD
PLTR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 284 industry peers in the Software industry. PLTR has an excellent financial health rating, but there are some minor concerns on its profitability. PLTR is valued quite expensive, but it does show an excellent growth. These ratings could make PLTR a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
PLTR had positive earnings in the past year.
PLTR had a positive operating cash flow in the past year.
In multiple years PLTR reported negative net income over the last 5 years.
Of the past 5 years PLTR 4 years had a positive operating cash flow.
1.2 Ratios
PLTR has a better Return On Assets (8.47%) than 83.80% of its industry peers.
The Return On Equity of PLTR (10.52%) is better than 79.23% of its industry peers.
PLTR has a better Return On Invested Capital (5.55%) than 76.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.47% | ||
| ROE | 10.52% | ||
| ROIC | 5.55% |
ROA(3y)0.38%
ROA(5y)-11.69%
ROE(3y)0.24%
ROE(5y)-19.79%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of PLTR (18.32%) is better than 85.21% of its industry peers.
The Operating Margin of PLTR (13.02%) is better than 80.63% of its industry peers.
The Gross Margin of PLTR (80.01%) is better than 80.63% of its industry peers.
In the last couple of years the Gross Margin of PLTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.02% | ||
| PM (TTM) | 18.32% | ||
| GM | 80.01% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.96%
GM growth 5Y3.56%
2. Health
2.1 Basic Checks
PLTR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for PLTR has been increased compared to 1 year ago.
PLTR has more shares outstanding than it did 5 years ago.
PLTR has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 151.54 indicates that PLTR is not in any danger for bankruptcy at the moment.
PLTR's Altman-Z score of 151.54 is amongst the best of the industry. PLTR outperforms 99.65% 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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 151.54 |
ROIC/WACC0.61
WACC9.03%
2.3 Liquidity
A Current Ratio of 6.49 indicates that PLTR has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 6.49, PLTR belongs to the top of the industry, outperforming 90.14% of the companies in the same industry.
A Quick Ratio of 6.49 indicates that PLTR has no problem at all paying its short term obligations.
The Quick ratio of PLTR (6.49) is better than 90.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.49 | ||
| Quick Ratio | 6.49 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 64.29% over the past year.
The Earnings Per Share has been growing by 43.07% on average over the past years. This is a very strong growth
The Revenue has grown by 33.45% in the past year. This is a very strong growth!
PLTR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.01% yearly.
EPS 1Y (TTM)64.29%
EPS 3Y43.07%
EPS 5YN/A
EPS Q2Q%62.5%
Revenue 1Y (TTM)33.45%
Revenue growth 3Y22.95%
Revenue growth 5Y31.01%
Sales Q2Q%39.34%
3.2 Future
The Earnings Per Share is expected to grow by 38.39% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 34.67% on average over the next years. This is a very strong growth
EPS Next Y42.02%
EPS Next 2Y34.8%
EPS Next 3Y35.48%
EPS Next 5Y38.39%
Revenue Next Year38.76%
Revenue Next 2Y33.58%
Revenue Next 3Y33.25%
Revenue Next 5Y34.67%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 304.26, the valuation of PLTR can be described as expensive.
PLTR's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.34, PLTR is valued quite expensively.
Based on the Price/Forward Earnings ratio of 187.86, the valuation of PLTR can be described as expensive.
Based on the Price/Forward Earnings ratio, PLTR is valued a bit more expensive than 64.08% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of PLTR to the average of the S&P500 Index (22.19), we can say PLTR is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 304.26 | ||
| Fwd PE | 187.86 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PLTR is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as PLTR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 250.53 | ||
| EV/EBITDA | 736.03 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PLTR does not grow enough to justify the current Price/Earnings ratio.
PLTR has a very decent profitability rating, which may justify a higher PE ratio.
PLTR's earnings are expected to grow with 35.48% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.24
PEG (5Y)N/A
EPS Next 2Y34.8%
EPS Next 3Y35.48%
5. Dividend
5.1 Amount
PLTR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
139.96
+1.76 (+1.27%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners55.69%
Inst Owner Change4.03%
Ins Owners3.6%
Ins Owner Change0.25%
Market Cap330.29B
Analysts66
Price Target103.23 (-26.24%)
Short Float %2.05%
Short Ratio0.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)11.75%
Min EPS beat(2)-0.58%
Max EPS beat(2)24.07%
EPS beat(4)3
Avg EPS beat(4)10.13%
Min EPS beat(4)-0.58%
Max EPS beat(4)24.07%
EPS beat(8)6
Avg EPS beat(8)7.9%
EPS beat(12)8
Avg EPS beat(12)-3.18%
EPS beat(16)10
Avg EPS beat(16)-7.02%
Revenue beat(2)2
Avg Revenue beat(2)2.49%
Min Revenue beat(2)0.43%
Max Revenue beat(2)4.56%
Revenue beat(4)4
Avg Revenue beat(4)2.02%
Min Revenue beat(4)0.43%
Max Revenue beat(4)4.56%
Revenue beat(8)4
Avg Revenue beat(8)0.38%
Revenue beat(12)5
Avg Revenue beat(12)0.18%
Revenue beat(16)7
Avg Revenue beat(16)0.43%
PT rev (1m)7.72%
PT rev (3m)11.35%
EPS NQ rev (1m)1.3%
EPS NQ rev (3m)4.75%
EPS NY rev (1m)0%
EPS NY rev (3m)3.77%
Revenue NQ rev (1m)0.44%
Revenue NQ rev (3m)4.12%
Revenue NY rev (1m)0.38%
Revenue NY rev (3m)2.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 304.26 | ||
| Fwd PE | 187.86 | ||
| P/S | 106.03 | ||
| P/FCF | 250.53 | ||
| P/OCF | 247.49 | ||
| P/B | 60.89 | ||
| P/tB | 60.89 | ||
| EV/EBITDA | 736.03 |
EPS(TTM)0.46
EY0.33%
EPS(NY)0.75
Fwd EY0.53%
FCF(TTM)0.56
FCFY0.4%
OCF(TTM)0.57
OCFY0.4%
SpS1.32
BVpS2.3
TBVpS2.3
PEG (NY)7.24
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.47% | ||
| ROE | 10.52% | ||
| ROCE | 7.03% | ||
| ROIC | 5.55% | ||
| ROICexc | 94.57% | ||
| ROICexgc | 94.57% | ||
| OM | 13.02% | ||
| PM (TTM) | 18.32% | ||
| GM | 80.01% | ||
| FCFM | 42.32% |
ROA(3y)0.38%
ROA(5y)-11.69%
ROE(3y)0.24%
ROE(5y)-19.79%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.96%
GM growth 5Y3.56%
F-Score6
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 54.26% | ||
| Cap/Sales | 0.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 306.55% | ||
| Profit Quality | 231.02% | ||
| Current Ratio | 6.49 | ||
| Quick Ratio | 6.49 | ||
| Altman-Z | 151.54 |
F-Score6
WACC9.03%
ROIC/WACC0.61
Cap/Depr(3y)87.68%
Cap/Depr(5y)87.2%
Cap/Sales(3y)1.07%
Cap/Sales(5y)1.03%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)64.29%
EPS 3Y43.07%
EPS 5YN/A
EPS Q2Q%62.5%
EPS Next Y42.02%
EPS Next 2Y34.8%
EPS Next 3Y35.48%
EPS Next 5Y38.39%
Revenue 1Y (TTM)33.45%
Revenue growth 3Y22.95%
Revenue growth 5Y31.01%
Sales Q2Q%39.34%
Revenue Next Year38.76%
Revenue Next 2Y33.58%
Revenue Next 3Y33.25%
Revenue Next 5Y34.67%
EBIT growth 1Y106.15%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year62.88%
EBIT Next 3Y42.46%
EBIT Next 5Y13.24%
FCF growth 1Y280.96%
FCF growth 3Y52.59%
FCF growth 5YN/A
OCF growth 1Y255.28%
OCF growth 3Y51.19%
OCF growth 5YN/A