Palantir Technologies Inc. Fundamental Analysis (NEO: PLTR.NE)
Palantir Technologies Inc. Fundamental Analysis (NEO: PLTR.NE)
Palantir Technologies Inc. (NEO: PLTR.NE) shows strong financial fundamentals with a PE ratio of 5.83, profit margin of 50.34%, and ROE of 40.03%. The company generates $131.6B in annual revenue with strong year-over-year growth of 56.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 87.3/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze PLTR.NE's fundamental strength across five key dimensions:
Efficiency Score
ExcellentPLTR.NE demonstrates superior asset utilization.
Valuation Score
ExcellentPLTR.NE trades at attractive valuation levels.
Growth Score
ModeratePLTR.NE shows steady but slowing expansion.
Financial Health Score
ExcellentPLTR.NE maintains a strong and stable balance sheet.
Profitability Score
ExcellentPLTR.NE achieves industry-leading margins.
Key Financial Metrics
Is PLTR.NE Expensive or Cheap?
P/E Ratio
PLTR.NE trades at 5.83 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PLTR.NE's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values Palantir Technologies Inc. at 1.94 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 116.64 times EBITDA. This signals the market has high growth expectations.
How Well Does PLTR.NE Make Money?
Net Profit Margin
For every $100 in sales, Palantir Technologies Inc. keeps $50.34 as profit after all expenses.
Operating Margin
Core operations generate 45.64 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $40.03 in profit for every $100 of shareholder equity.
ROA
Palantir Technologies Inc. generates $27.59 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Palantir Technologies Inc. generates strong operating cash flow of $73.86B, reflecting robust business health.
Free Cash Flow
Palantir Technologies Inc. generates strong free cash flow of $73.08B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.69 in free cash annually.
FCF Yield
PLTR.NE converts 1.03% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
5.83
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.001
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.94
vs 25 benchmark
P/S Ratio
Price to sales ratio
53.24
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
7.10
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.40
vs 25 benchmark
ROA
Return on assets percentage
0.28
vs 25 benchmark
ROCE
Return on capital employed
0.29
vs 25 benchmark
How PLTR.NE Stacks Against Its Sector Peers
| Metric | PLTR.NE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 5.83 | 32.17 | Better (Cheaper) |
| ROE | 40.03% | 766.00% | Weak |
| Net Margin | 50.34% | -6542.00% (disorted) | Strong |
| Debt/Equity | 0.02 | 0.58 | Strong (Low Leverage) |
| Current Ratio | 7.10 | 12.19 | Strong Liquidity |
| ROA | 27.59% | -1256.00% (disorted) | Strong |
PLTR.NE outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Palantir Technologies Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
69.00%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
157.49%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
396.92%
Industry Style: Growth, Innovation, High Beta
High Growth