Palantir: Valuation Is Still A Deal-Breaker


  • Palantir Technologies reported better-than-expected sales and achieved its sixth consecutive quarter of GAAP profits.
  • The company is making progress in growing its free cash flow, driven by finding new paying customers for its analytics products, particularly in the US commercial sector.
  • Despite the positive financial performance, the excessive valuation multiple for Palantir Technologies cannot be justified based on reasonable valuation metrics, in my view.

Palantir Technologies headquarters campus exterior view in Silicon Valley. - Palo Alto, California, USA - 2019

Michael Vi

Sales for Palantir Technologies Inc. (NYSE:PLTR) came in better than expected last week, and the software and AI company produced its sixth consecutive quarter of GAAP profits.

Palantir Technologies is also making solid progress in terms of scaling

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Leave a Reply

Your email address will not be published. Required fields are marked *