PLTR Stock Price Palantir Technologies Inc Stock Quote U.S.: NYSE
For the first few years of operation, Palantir’s clients consisted mostly of government agencies and a few private companies. Although the company grew its top line over 40% in 2021 and has committed to 30% growth or more over the next four years, its revenue stream is fairly difficult to predict. Wall Street’s concerns over Palantir’s reliance on large deals with a finite number of customers, with particular dependence on government contracts, can make its revenue flow somewhat unpredictable. For the fiscal year 2021, Palantir generated $1.5 billion in total revenue.
- Some brokers also offer investors the chance to purchase portions of the stock, commonly known as fractional shares.
- TechNavio estimates that the global artificial intelligence platforms market could clock annual growth of almost 35% between 2022 and 2027, generating an incremental $31 billion in revenue during this period.
- In the third quarter, overall revenue rose 17% to $558 million with a 34% increase in customer count, showing increasing adoption for its technology, and U.S. customer count rose 37% to 181.
- Despite Palantir increasing revenue in 2021, Ark Invest sold more than 11.7 million Palantir shares.
- It connects analytics, data and business teams to a common foundation.
Palantir makes software that enables users to find solutions to complex problems by analyzing data. Palantir’s platform joins data and presents findings in a simple way for users to understand without needing to master statistical modeling. Most Foundry users are commercial clients such as Fiat Chrysler and Airbus. Foundry is an end-to-end solution for decision-making by using data.
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For some perspective, Palantir’s government revenue was up 12% in the third quarter of 2023 to $308 million. Its overall revenue, however, increased 17% year over year to $558 million as revenue from commercial customers was up 23% to $251 million. In simple words, the faster growth in the commercial business helped outpace the tepid https://traderoom.info/ performance of the government business. Palantir has a cult following, and it reminds me somewhat of Tesla (TSLA 0.84%). Alex Karp, Palantir’s CEO, is a quirky and intelligent guy, much like Tesla’s Elon Musk. This is not necessarily a reason to buy the stock, but it is an important consideration for potential shareholders.
Palantir is committed to delivering a profit, and it has done so by controlling its costs and continuing to grow the top line. You’ll need to add money to the account and then search for “PLTR” within the brokerage’s platform. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services.
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At the time of the launch, Palantir said it was seeing substantial demand for software that can help large organizations leverage the power of new generative technologies. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.
About Palantir Technologies Stock (NYSE:PLTR)
And if you’re concerned about the ethical impact of your investments, make sure to look under the hood to ensure the company’s values are aligned with yours. For example, some folks may consider Palantir’s data harvesting business model unethical and thus may opt to exclude it from their portfolio. Snowflake posted a Gross Profit Margin of 62% for the first six months of FY’21, with Operating Margins standing at -72%. Palantir’s Gross Margins stood at about 72% over the first six months of 2020, with Operating Margins coming in at about -35%. Palantir said in an updated filing last week that it expects to record growth this year of 42%, to close 2020 with $1.06 billion in revenue. Adjusted operating income will come in at $121 million, excluding stock-based compensation and other costs, for a margin of 11.5%.
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According to market research firm IDC, Palantir was the leading player in this market in 2021, suggesting that it seems well-placed to tap this incremental growth opportunity. However, the business performance is only one component of the buy case. Based on adjusted earnings, the stock is trading at a price-to-earnings ratio of 69, which is expensive, especially for a company that’s only growing revenue by high-teen percentages. The new platform has also accelerated its sales cycle and improved its unit economics. See our interactive analysis on Palantir’s Valuation for more details on the company’s revenues, valuation, and how it compares with other analytics and software players. You can modify key variables to arrive at your own price estimate for Palantir.
You can start by learning about Palantir’s products to understand their use. This should also give you a better sense of how the company stacks up against its competitors. These quarterly disclosures provide insight into the company’s finances, including its cash flow, income and balance sheet. Founded in 2003, Palantir has been private for most of its lifespan. When the company issued its initial public offering in 2020, its market valuation was $20 billion.
Simultaneously, our latest consensus estimate expects the revenue to be $603.48 million, showing a 18.65% escalation compared to the year-ago quarter. The company’s earnings report is set to go public on February 5, 2024. Through Covid-19, Palantir has been seeing higher traction from the public health space, with its services used to track Covid-19 data from hospitals and to trace the spread of the virus. The company is also developing tools to help authorities with the logistics related to Covid vaccines. Last week it was reported that the company was in talks with the U.K government to support its contact tracing efforts in the country.
It provides a single control layer to coordinate security updates and platform configuration to ensure critical systems constantly operate. PLTR closed at $16.33, marking a +1.49% move from the previous day. The stock outperformed the S&P 500, which binary com broker review registered a daily gain of 1.25%. Meanwhile, the Dow gained 0.97%, and the Nasdaq, a tech-heavy index, added 1.3%. Don’t forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
It also raised its guidance for the full year following the third-quarter results. Additionally, the company is stepping up its efforts in artificial intelligence with its new Artificial Intelligence Platform (AIP), which was released earlier this year. The AIP allows its customers to use the power of large language models like ChatGPT to process the datasets that Palantir helps manage.
