Back in March, I was analyzing Palantir (NASDAQ: PLTR ) amidst a market slump, and only got to a "Hold." My apprehension was based on the seasonality that's part of Palantir's business. Big contracts get signed before the end of the year. ThatBram de Haas brings 15 years of investing experience to the table and has over 5 years of experience managing a Euro hedge fund. He is also a former professional poker player and utilizes his bundle of risk management skills to uncover lucrative investments based on sp ...

Core Insights - Palantir Technologies Inc. reported signing 139 deals valued at least $1 million in its most recent earnings report, maintaining a strong momentum in contract acquisitions [1][2] - A significant new contract with the U.S. Immigration and Customs Enforcement (ICE) agency, valued at $30 million, aims to enhance ICE's capabilities in tracking individuals accused of violent crimes and visa violations [3][4] - The partnership with ICE has raised concerns among investors regarding the ethical implications of surveillance and civil liberties violations, which may deter some from investing in the company [5][6] Company Developments - The new system being developed for ICE, named "ImmigrationOS," is designed to streamline the process of tracking individuals from identification to deportation, aligning with the Trump administration's goal of removing one million people from the U.S. by 2025 [5][6] - Despite criticisms, Palantir continues to pursue the project, with a delivery timeline set for the end of September [7] - The company has maintained a consistent mission and values since its public debut in 2020, appealing to long-term shareholders [8] Market Position - Palantir positions itself as a supporter of Western democratic institutions and the U.S. defense sector, which aligns with the priorities of the U.S. Department of Defense [9] - The CEO noted that Palantir performs well under pressure, suggesting that the company thrives in challenging environments, including those involving controversial operations like those of ICE [10] - Analysts express concerns about the lack of international growth, although a recent deal with NATO may help address these issues [11] Stock Performance - Following the earnings report, Palantir's stock has shown volatility, with some analysts concerned about the impact of the ICE deal on institutional sentiment [12][13] - The stock is currently rated as "Reduce" among analysts, indicating a cautious outlook compared to other investment opportunities [14][15]

Core Insights - Palantir Technologies has experienced significant stock growth, rising approximately 1,090% since its IPO in 2020, primarily driven by the demand for its AI software [4] - The company has transitioned from a government-focused business model to a more balanced approach, with commercial accounts now representing 81% of its customer base [8][9] - Analysts predict that Palantir's stock could potentially increase by another 285% over the next two to three years, positioning it for a valuation of $1 trillion [5] Company Performance - Palantir's AI business has seen substantial growth, with commercial account growth year-over-year showing figures of 200% in 2021, 77% in 2022, and 44% in 2023 [8] - The total number of customers has increased from 237 in 2021 to 769 by the end of Q1 2025, indicating successful penetration into the private sector [9] - Despite the impressive growth, there are concerns regarding the sustainability of this momentum due to reliance on government contracts, which can be unpredictable [6][7] Valuation Trends - Following the launch of the Artificial Intelligence Platform (AIP) in April 2023, Palantir's price-to-sales (P/S) ratio has expanded significantly, raising concerns about potential valuation compression [13][16] - The current P/S ratio is reported to be between two and three times higher than that of major tech companies during the peak of the dot-com era, suggesting a possible pullback in stock value [16] - While valuation multiples may compress in the near term, there remains a long-term potential for Palantir to achieve a trillion-dollar valuation, although this may not occur within the next few years [19][20]

Palantir Technologies (PLTR -1.49%) has been one of the best-performing stocks of the year so far, up 43% year to date. But the artificial intelligence (AI) software company's strong first quarter wasn't enough to push the stock to new highs. The stock was trading down over 10% after the earnings news.Investors have high expectations for the company's performance. The stock is priced for perfection and then some, trading at 474 times earnings. The expensive valuation is the most common reason cited for why ...

Core Viewpoint - Palantir has experienced significant stock price growth, but its valuation may be unsustainable as competitors like ServiceNow and Uber are expected to surpass its market cap within a year [1][2][7]. Palantir's Financial Performance - Palantir's revenue increased by 50% from 2022 to 2024, with U.S. commercial revenue more than doubling [4]. - The company anticipates a further 34% revenue growth this year, driven by its AI Platform [4]. - Adjusted operating margin improved from 24% in Q1 2023 to 44% in the last quarter, leading to profitability on a GAAP basis and inclusion in the S&P 500 [5]. Valuation Concerns - Palantir's stock trades at an enterprise value over 70 times its expected 2025 sales, with a forward price-to-earnings (PE) ratio exceeding 200, indicating a potentially inflated valuation [6]. - Any negative news or disappointing earnings could lead to a significant drop in Palantir's stock price [7]. ServiceNow's Growth Potential - ServiceNow has a strong land-and-expand strategy, achieving a 98% customer renewal rate [8]. - The company introduced generative AI capabilities, with over $250 million in annual contract value tied to its Now Assist AI product, expected to exceed $1 billion by next year [9]. - ServiceNow projects subscription revenue growth from $10.6 billion last year to over $15 billion next year, with an addressable market potential exceeding $30 billion [10]. Uber's Strategic Position - Uber is positioning itself as a partner for autonomous vehicles (AVs), launching partnerships to deploy AVs in select cities [13]. - The company has a network of over 170 million riders, providing a strategic advantage in forming partnerships with AV companies [14]. - Uber's adjusted EBITDA margin expanded to 16.2%, with free cash flow increasing to $2.25 billion, up 66% year over year [15]. Valuation Comparison - Uber trades at an enterprise value of approximately 3.5 times 2025 sales estimates, making it a more attractive valuation compared to Palantir [16]. - With a forward PE of about 29 and earnings growth of nearly 30% per year, Uber could be valued at around $225 billion by next year [17].

Core Insights - Palantir Technologies has become a significant player in the artificial intelligence (AI) sector, with its stock price increasing by 361% over the past year, reflecting its popularity among investors [2][3] - The company's market capitalization has surged from approximately $46 billion to over $250 billion within a year, indicating strong investor interest and confidence in its growth potential [4] - Palantir's current price-to-sales (P/S) ratio stands at about 91, which is considerably higher than historical P/S ratios of other tech giants during periods of market exuberance [6][9] Valuation Analysis - Historical comparisons show that leading tech companies like Cisco and Amazon had P/S ratios around 40 before the dot-com crash, while Nvidia peaked at 46 during the recent AI boom, suggesting Palantir's valuation may be overstretched [9][10] - Current P/S multiples for Cisco, Amazon, and Nvidia are significantly lower, at 4.4, 3.1, and 21.6 respectively, indicating potential for Palantir's valuation multiples to compress [11] - Despite potential compression of valuation multiples, it is noted that this does not necessarily equate to a decline in market value, as companies can still grow significantly over time [12][14] Long-term Growth Prospects - The AI sector is not perceived to be in a bubble, and Palantir's growth prospects are considered clearer than those of companies like Cisco or Amazon during the dot-com era, driven by increasing demand for AI software [17] - Historical evidence suggests that while Palantir's market value could eventually exceed its current valuation of $250 billion, it may also trade at more reasonable prices for new investors in the future [18] - A recommended investment strategy for those looking to enter Palantir's stock is dollar-cost averaging, with an emphasis on a long-term holding period to maximize potential returns [18]

Core Viewpoint - Palantir Technologies has shown significant stock performance in 2025, with a year-to-date increase of 43%, despite a challenging market environment for technology stocks due to external economic pressures [1][2] Company Performance - Following the release of its first-quarter results, Palantir's stock experienced a decline of over 12%, despite beating sales expectations and raising its full-year guidance [2] - The company reported a 66% year-over-year increase in the value of contracts booked in the first quarter, totaling $1.5 billion, which contributed to a total remaining deal value of almost $6 billion, reflecting a 45% increase from the previous year [7][8] - Palantir's adjusted earnings rose by 62% year-over-year to $0.13 per share, indicating strong unit economics and growing business from established customers [8] Growth Drivers - The demand for Palantir's AI software solutions is driving growth, leading management to increase its 2025 revenue guidance to nearly $3.9 billion, representing a 36% increase from 2024 [10] - The AI software platforms market is projected to grow at an annual rate of almost 41% through 2028, reaching $153 billion, positioning Palantir to capture a significant share of this growth [11] Future Valuation Potential - If Palantir's revenue grows at a 40% rate over the next five years, it could reach nearly $21 billion by 2030, suggesting a potential market cap of $1 trillion based on a projected price-to-sales multiple contraction from 87 to 50 [12][13] - Palantir is currently the leading vendor in the AI software platforms space, which may allow for even faster growth than the overall market [13][14] - The combination of its market position and improving revenue pipeline supports the potential for a premium valuation and faster bottom-line growth [14]

BigBear.ai (BBAI -3.23%) has become a popular name in the AI market as investors see small similarities to Palantir (PLTR -1.49%). This video explores BigBear.ai's business, growth opportunities, and risks.*Stock prices used were the after-market prices of May 7, 2025. The video was published on May 9, 2025. ...

Core Viewpoint - Palantir Technologies (PLTR) has seen significant stock performance, with shares more than quadrupling over the last 12 months and up over 40% year to date, but it is not expected to be among the top long-term winners compared to other stocks [1][2]. Group 1: Intuitive Surgical - Intuitive Surgical (ISRG) currently has a market cap approximately $70 billion smaller than Palantir, but it is anticipated that this could change in the near future [3]. - Intuitive Surgical's revenue grew by 19% year over year in Q1 2025, with procedure volume for its da Vinci robotic systems expected to increase by 15% to 17% this year [3][4]. - The forward price-to-earnings ratio for Intuitive Surgical is 68, which is considered relatively cheap compared to Palantir's forward earnings multiple of 196 [4]. - Intuitive Surgical performed around 2.7 million procedures last year and estimates that there are approximately 22 million soft-tissue procedures targeted with products under development [5]. Group 2: Alibaba Group - Alibaba Group (BABA) is already larger than Palantir and is expected to widen its market cap gap over the next five years [6]. - Alibaba's shares trade at only 12.5 times forward earnings, with a low price-to-earnings-to-growth (PEG) ratio of 0.71 based on five-year earnings projections [7]. - The demand for artificial intelligence (AI) is expected to benefit Alibaba significantly, with AI-related product revenue growing by triple-digit percentages for six consecutive quarters [8]. - Potential growth limitations for Alibaba could arise from the Chinese government, but if allowed to operate freely, it is expected to remain larger than Palantir by the end of the decade [9]. Group 3: Alphabet - Alphabet (GOOG) is currently over 7 times larger than Palantir and is expected to maintain this size in five years [10]. - Despite challenges such as antitrust lawsuits and concerns about generative AI, Alphabet is expected to thrive, with AI positively impacting its business [12]. - Google Cloud's business is booming as customers develop generative AI applications, and AI Overviews in Google Search have increased both search usage and customer satisfaction [12]. - The antitrust rulings may present challenges, but resolutions could take years, and the outcomes may not be overly detrimental to Alphabet [13].

Palantir (PLTR -1.49%) delivered another blowout earnings report on Monday.The company posted its seventh consecutive quarter of revenue growth in the first quarter of 2025 as revenue grew 39% to $883.9 million, which easily beat the consensus at $862.1 million.Generally accepted accounting principles (GAAP) operating income more than doubled to $176 million, giving the company an operating margin of 20%. On an adjusted basis, earnings per share increased from $0.08 to $0.13, which matched estimates. Palant ...