Is Palantir stock a buy at $45?
Palantir offers investors something not commonly seen among tech stocks today: a discount. After peaking at $45 per share back in January, Palantir stock sold off significantly when it reported a loss due to stock-based compensation expenses in its Q4 earnings report.
Should investors take a look at Palantir Technologies?
Investors should take a closer look at the stock's valuation. Palantir Technologies ( NYSE:PLTR) built an advantage by becoming one of the first companies to allow users to integrate, manage, and secure data, and the company has prospered through its analytics capabilities.
Is Palantir (pltr) stock a slam-dunk buy?
Even so, PLTR stock is hardly a slam-dunk buy. Here are the catalysts that have driven Palantir’s recent growth, and its outlook following its disappointing earnings report yesterday. Originally, Palantir emphasized security and counterterrorism functions.
How did Palantir’s revenue grow 49% in Q2?
For example, Chief Operating Officer Shyam Sankar mentioned on the Q2 2021 earnings call that the company added 20 customers in the second quarter alone. This helped Palantir earn nearly $717 million in revenue in the first six months of 2021, meaning it climbed 49% compared with the first two quarters of 2020.
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Who is buying PLTR stock?
Spence Asset Management Buys PLTR Stock After the purchase, Palantir is now Spence's ninth-largest position out of 35 total positions. At current prices, the firm's PLTR stake is worth about $17.9 million. In addition, it can be assumed that Spence purchased PLTR stock as an investment and not as a trade.
Is Palantir stock worth buying?
We estimate Palantir Valuation at about $15 per share, translating into a potential upside of over 100% from the current market price. Check out our analysis of Palantir Revenue for more details on Palantir's key revenue streams and business model.
Who are the biggest investors in Palantir?
Top 10 Owners of Palantir Technologies IncStockholderStakeTotal value ($)The Vanguard Group, Inc.7.91%1,587,004,754BlackRock Fund Advisors3.45%692,332,961SSgA Funds Management, Inc.1.78%356,595,221Geode Capital Management LLC1.05%211,517,6026 more rows
Is Palantir a long-term buy?
If we consider the growing demand for data in the U.S., and indeed the world, Palantir (NYSE: PLTR) looks like a great long-term investment for investors wanting a slice of the highly profitable big data analytics pie.
How high does Pltr go?
Stock Price Forecast The 10 analysts offering 12-month price forecasts for Palantir Technologies Inc have a median target of 11.00, with a high estimate of 16.00 and a low estimate of 6.00. The median estimate represents a +43.70% increase from the last price of 7.66.
Will Palantir recover?
Growth at scale. Despite being at a ~$2 billion annual revenue scale, Palantir continues to deliver 30-40% y/y revenue growth, and its long-term outlook calls for the company to be able to sustain growth rates in excess of 30% y/y through at least 2025.
Who is holding PLTR?
Largest shareholders include Vanguard Group Inc, BlackRock Inc., VTSMX - Vanguard Total Stock Market Index Fund Investor Shares, VIMSX - Vanguard Mid-Cap Index Fund Investor Shares, State Street Corp, Susquehanna International Group, Llp, ARKK - ARK Innovation ETF, Susquehanna International Group, Llp, VEXMX - Vanguard ...
Did BlackRock sell Pltr?
Class A - 13F, 13D, 13G Filings - Fintel.io....BlackRock Inc. reports 2.34% increase in ownership of PLTR / Palantir Technologies Inc. Class A.SecurityPLTR / Palantir Technologies Inc. Class AInstitutionBlackRock Inc.Latest Disclosed Ownership86,955,785 sharesLatest Disclosed Value$ 1,193,904,000
How much of Pltr does Karp own?
Karp is at least $1.1 Billion dollars as of 26 November 2021. Dr Karp owns over 574,834 units of Palantir Technologies stock worth over $54,802,838 and over the last 2 years he sold PLTR stock worth over $1,039,602,870.
What will PLTR be worth in 10 years?
Palantir's path toward a trillion-dollar market cap If it hits its target for 2025, then continues to grow its revenue at an average rate of 20% over the following 10 years, it could generate nearly $27 billion in revenue in 2035.
Does PLTR have future?
Growth Narrative Per the company's Feb. 17 earnings report, “Annual revenue growth of 30% or greater through 2025” can be expected. And that's what the company is also telegraphing for the next quarter when it anticipates $443 million in revenues. The company posted $341 million in the first quarter of 2021.
Will PLTR go up?
Palantir (PLTR) stock forecast: 2022–2030 Palantir share price forecasts as of 8 April, showed an average upside of 20% to a price target of $15.38 for the next 12 months, ranging from the high of $25 to the low of $9, according to eight analyst views compiled by MarketBeat.
Who is on Palantir Technologies's Insider Roster?
The list of insiders at Palantir Technologies includes Alexander C Karp , Alexander D Moore , David A Glazer , Matthew A Long , Peter Thiel ,...
What percentage of Palantir Technologies stock is owned by insiders?
17.00% of Palantir Technologies stock is owned by insiders. Learn more on PLTR's insider holdings.
Which Palantir Technologies insiders have been selling company stock?
The following insiders have sold Palantir Technologies stock in the last 24 months: Alexander C Karp ($515,166,036.10), Alexander D Moore ($9,6...
How much insider selling is happening at Palantir Technologies?
Insiders have sold a total of 44,916,577 Palantir Technologies shares in the last 24 months for a total of $818,101,704.26 sold.
NYSE: PLTR
A considerable uncertainty may stand in the way of an otherwise compelling investment case
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1. Reason to buy: Competitive advantage
Palantir ( PLTR -6.37% ) became famous about 11 years ago for helping the CIA find Osama bin Laden. Since its IPO in September 2020, investors have closely watched the company co-founded by the billionaire entrepreneur and venture capitalist Peter Thiel.
NYSE: PLTR
Investors can understandably become confused amid the choices of data science companies. Nonetheless, Palantir is not a competitor of Snowflake ( SNOW -4.37% ), Alteryx, or other data science companies.
2. Reason to buy: Revenue growth
Palantir stands out by analyzing and proposing possible artificial intelligence (AI)-driven decision scenarios based on data gathered from diverse sources. It started in the government realm, where its Gotham software has helped both the U.S. military and law enforcement agencies maintain peace and order.
3. Reason to buy: A discounted stock price
The big data industry has generally benefited from rapid growth. According to Valuates, the industry, valued at $198 billion globally in 2020, will reach an estimated size of $684 billion by 2030, a compound annual growth rate of 14%.
Reason to sell: Product secrecy
The stock price has become increasingly attractive for prospective stockholders looking for an opportunity. Since peaking at $45 per share almost one year ago, Palantir's stock price has steadily dropped. It now sells at a discount of more than 60% from that price, its lowest price since the stock began to take off in late 2020.
How has Palantir grown?
Admittedly, even bullish investors may struggle with a secrecy issue regarding the company's products. Due to the sensitivity of Palantir's work, the company cannot share many of its capabilities publicly, particularly with its Gotham software package.
What is Palantir's Gotham platform?
Palantir has grown by increasing its footing with the U.S. government; its government revenue grew 66% year over year in 2021 Q2. In the quarter, the company's overall revenue grew 49% to $376 million, meaning that government revenue is growing faster than commercial revenue (which grew 28% year over year in Q2).
Is Palantir a good investment?
Palantir's Gotham platform helps government organizations better understand their data to generate insights and aid decision making, while its Foundry functions similarly for commercial customers. It describes itself as an "operating system" for its customers, using artificial intelligence to make data actionable, driving smarter decision-making.
Is Palantir profitable?
Palantir seems like a compelling investment idea despite its expensive valuation because of the sheer size of the "big data" market opportunity, as well as the company's accelerating free cash flow growth. CEO Alex Karp needs to continue to execute Palantir's growth strategy, but long-term investors could still be rewarded moving forward.
Is Palantir stock expensive?
As Gotham/Foundry expands and increases its value to the customer, Palantir's revenue and the relationship become increasingly profitable.
NYSE: PLTR
Trading at a price-to-sales ratio of 28 using the company's expected full-year 2021 revenue of $1.5 billion, it's a fair argument that Palantir stock is expensive. Management is pursuing 30% or higher revenue growth over the next four years, and it could surpass that if these small customers grow fast enough over the years to come.
This artificial intelligence stock has been mission-critical to government operations, but is it mission-critical to your portfolio?
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Building strong relationships
When companies create vast amounts of data, much of the data they produce is unstructured -- meaning the data cannot fit neatly onto a spreadsheet. Nearly 90% of all data created is unstructured, and the amount of that data type has grown at 60% annually according to Bernard Marr & Co.
NYSE: PLTR
Palantir has become known as a safe, secure, and powerful analytics platform among the U.S. government and its allies. Having various sectors of the U.S. government like the Army and CIA as customers is a powerful testament to the security and reliability of Palantir. Palantir was even rumored to help capture Osama Bin Laden in 2011.
The key risks
For a long time, Palantir worked exclusively for the government, and it only recently expanded its offering -- Foundry -- to the private sector in 2016. However, Palantir is already seeing tons of success in this shift.
Is it a buy?
Aside from the immense reliance on the government, there are other risks associated with Palantir's business. Especially with the government, security is a major concern. While Palantir has never had any security breaches yet, all it takes is one for the relationship it has built with a major government customer to dissipate.
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Palantir is not a stock for every investor, as it still carries some risk. However, the thesis behind this company relies on its ability to integrate itself into the commercial sector, and its superior product is, so far, doing just that.
What is Palantir Technologies?
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What is Palantir data mining?
Palantir Technologies ( NYSE:PLTR) built an advantage by becoming one of the first companies to allow users to integrate, manage, and secure data, and the company has prospered through its analytics capabilities. However, some of its practices and the nature of its business have deterred other prospective investors.
Why is Palantir controversial?
Palantir is a company specializing in data mining. The company's products allow for human-driven data analysis without a deep knowledge of query languages or statistical modeling. This focus helped Palantir build a client base around two products: Gotham, which serves government and law enforcement agencies, and Foundry, which can obtain and organize data primarily to help businesses.
Does Palantir have government ties?
However, Gotham has brought Palantir controversy due to ties to government agencies like the CIA and ICE. In an interview with Axios, CEO and co-founder Alex Karp acknowledged that some agencies had used Palantir's data analysis tools to "occasionally kill people." Such work could deter some investors concerned about ethics and others who may not understand the company's full capabilities due to the secretive nature of such clandestine operations.
Does Palantir have a 31 P/S ratio?
Such lines of business help Palantir as commercial activities hold no direct ties to its government operations.
Is Palantir cheaper than Snowflake?
Palantir continues to capitalize on a growing big data market. Given its current and forecasted revenue increases, neither net los ses nor its 31 P/S ratio are likely to deter investors.
Will Healy be a stock analyst?
Nonetheless, Palantir's multiple has fallen from the 46 price-to-sales (P/S) ratio it had reached in January. Furthermore, it remains much cheaper than Snowflake, which still trades at more than 100 times sales.
NYSE: PLTR
Will Healy is a freelance financial writer who has had a lifelong interest in the stock market , along with numerous, less-useful pursuits. Will pursued his passion for writing after working in the corporate world as both an analyst and an insurance sales professional. He holds a bachelor's degree from Texas A&M Univesity, and M.S. from the University of North Texas, and an MBA in finance and strategy from the University of Texas at Dallas Jindal School of Management.
The data analytics firm has nearly returned to its direct listing price
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How fast is Palantir growing?
Palantir 's ( PLTR -0.48% ) stock plunged 16% to a 52-week low on Feb. 17 after the company posted its fourth-quarter results.
But can Palantir ever generate a profit?
Palantir operates two main platforms: Gotham for government agencies and Foundry for enterprise clients. Both platforms aggregate data from disparate sources to help clients make data-driven decisions.
Its valuations are still an issue
Palantir's commercial business continues to expand as its government business generates stable growth, but there's still a lot of doubt about its ability to break even on a GAAP basis.
Should you buy Palantir today?
Palantir's stock still trades at about 12 times this year's sales after its post-earnings plunge. That valuation might seem reasonable for a company that is generating more than 30% growth each year, but it's easy to find more fundamentally stable stocks at comparable valuations -- as well as cheaper stocks with similar revenue growth rates.
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I bought Palantir at under $10 shortly after its direct listing, sold part of my shares in the mid-$30s last January, and sold the rest in the high-teens earlier this year. I still admire the business, but its valuations and the current market climate indicated it was smarter to sell the stock and check back on it later.
Palantir Stock Opportunity
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Why It Plummeted
Palantir is now commercializing that technology via expanded government contracts and is selling Software-as-a-Service (SaaS) solutions to corporate America.
Double Your Money
The only knock? The company missed earnings estimates last week by two cents.
Meet Luke Lango
The average analyst price target on Palantir stock is $21. The Morningstar fair value estimate is $31. Our internal price target is $30. So across all the folks who run the numbers of this stock, we all think shares will at least double — and maybe even triple — over the next 12 months.
A Deeper Look At PLTR Stock
By uncovering early investments in hypergrowth industries, Luke Lango puts you on the ground-floor of world-changing megatrends.
The Bottom Line on Palantir
The bearish macro narrative has found the diversified and well-entrenched government big data analytics outfit in good-but-miserable company with higher multiple, large-cap growth stories.
