Get started

PLTR

Palantir (PLTR): In-depth Fundamental and Technical AnalysisPalantir is a mysterious company that helps governments and corporations integrate their data, decisions, and operations into one platform. They use big data and machine learning technology to offer solutions in both the public and private sector. While it has never been confirmed by the firm itself, it is said that Palantir played a significant role in catching Osama Bin Laden. In this post, I'll be going over Palantir's fundamentals, financials, and technicals, in order to assess whether this company is a good buy. This is not investment advice. This is for educational and entertainment purposes only. I am not responsible for the profits or loss generated from your investments. Trade and invest at your own risk. Background - Palantir’s founder is none other than Peter Thiel. - During his Paypal days, the company faced a crisis due to a scam led by the Russian mob. - Because of this, Paypal started nurturing groups of experts who could track and predict scam transactions. - They developed a software that analyzes data patterns, which allowed them to identify and prevent these schemes. - Peter Thiel thought that this software could potentially be used for many other things. Products: Gotham and Foundry - The CIA, they had collected a tremendous amount of data since 911, but weren't really sure of how they could utilize it to catch terrorists. - So the CIA became Palantir’s first client, and Palantir received an investment from In-Q-Tel, which is the venture arm of the CIA. - With the CIA’s support, they develop a software called Gotham, which allows Palantir to analyze huge data sets in real time, and visually demonstrate the result of the analysis through connective relations and patterns. - Gotham became recognized as the best analysis tool that the government has seen, and later became used by the CDC, NSA, FBI, the Pentagon, and the Marine Corps. - This software is used to track suspicious activities, the flow of potentially illegal funds, track missing children, or the spreading course of a disease. - With this experience and technology, they work with JP Morgan to develop a new software called Foundry. - Foundry is a solution for private firms that analyzes data to prevent financial fraud or illegal transactions. Financials Analysis - If we look at the quarterly income statement, the gross profit has dropped significantly in Q3 2020 from the 70% range to 50% range. - This is due to the compensation provided to the company’s employees through company shares. - Then we can also see that R&D expenses have increased significantly in the same quarter as well, and this is also due to the stock based compensation they’re giving out. - Regardless of this outlier, Palantir is a company that invests a lot on research and development. They are spending 30% of their revenue on R&D every quarter. - And as you can also see, Palantir is still technically not a profitable company, as their operating income is in the red. - Let’s take a quick look at their Q4 2020 results. Last quarter, they did $322m in revenue, which is a 40% increase compared to the same quarter last year. - In 2020 total, they did a little over a billion in revenue, which is a 47% increase compared to the revenue in 2019. - Looking at the average revenue from Palantir’s top 20 customers, the revenue increased 34% compared to last year, marking $33.2m. - The average revenue per customer also increased by 41%, marking $7.9m per customer on average. - This could be interpreted as a sign that Palantir’s clients are happy with the service they get. - In 2020, the revenue they generate from governments increased a whopping 77%, marking $610m. - In 2019, the commercial revenue covered 53% of the entire revenue, but in 2020, the government revenue outweighed the commercial revenue in terms of proportion, as it covered a little over 60% of the entire revenue. - The commercial revenue, on the other hand, wasn’t as impressive as the government revenue, as it only increased 22% compared to last year. - Using the PSG ratio, I calculated the 2023 estimate for Palantir's stock price to be anywhere between $36.31 to $48.38. Technical Analysis - We can count Elliott Waves on Palantir's 4 Hour logarithmic chart - We can see that the corrective abc waves have completed its formation, and that this entire chart is part of a bigger impulse wave. - What's important to note is that the price has retraced over 61.8% from all time high levels. - The price has managed to stay above the 0.618 fibonacci retracement support level. - The Relative Strength Index (RSI) is trading near oversold regions - The Moving Average Convergence Divergence (MACD) has formed a golden cross, and has started to form bullish histograms Conclusion Palantir is a company that is in an increasingly growing industry, but is reliant on government contracts for the time being. While this means that they are a monopoly in some way, they have also set their strategy to target commercial clients in the coming years as well. Their cutting edge technology has been approved both by government and commercial clients, and justify the growth potential of the company. Using simple assumptions to apply the PSG ratio in calculating the fair value of the company, we can estimate the stock to reach between $36.31 and $48.38. Given that the stock is currently at $24.19, this is a 41-100% upside. Technical analysis also aligns with the bull case of the valuation, indicating that the stock has recently been oversold, and that an entry around $23 would be reasonable. If you like this educational post, please make sure to like, and follow for more quality content! If you have any questions or comments, feel free to comment below! :)
PLong
by Michael_Wang_Official
9
PLTR: Ending diagonal?Don't follow this one much, but I've heard some good things about the company. I'll have to look into them more. The chart looks good. We have a pretty ugly ending diag. If examined closely it fits the internal wave structure of the aforementioned pattern. We also have some pretty good looking divergence on the 1hr. Some good looking humps ;) What do you all think of PLTR? I've been trying to keep these updated as much as I can while balancing family and work. I hope we all come out on top next week. I've been bleeding out long enough :) lol Linked another potential diag in EVGN. This one is a larger degree and it's a motive diag, not a corrective one. Thanks for checking it out!
PLong
by adambiers
2
PLTR - Massive Divergence on the horizon!Hello investors, As we can see, we had a huge Sell-off for a few weeks and today the move to the downside was massive! Palantir is signing more and more contracts, while the price is falling, which would mean that the only reason for the fall is the over-all bearish sentiment in the market. We can see the enourmous divergence that we have on the RSI on the 4hr chart and this indicates that we are near the bottom of the fall! Fundamentals of the company are more than amazing as we are a huge devoleper of an inovative industry, so huge returns are expected once the whole market becomes bullish. A long-term BUY position is a safe and smart move and since Cathy has been buying the stock a lot during the last few days, she should have acquired an enormous amount of shares today and with that the bottom of this fall is near. Good luck to all my fellow investors and traders!
PLong
by donaitelo
1
Bullish Bat in Palantir..!This analysis is obsolete if price slips below 22.50..! Potential gain:30% Reward/Risk:+5 Timeframe: 2-4 wks I always try to present the charts in a simple comprehensive format to prevent any confusion. This is just my technical view, neither a fundamental comment,nor a recommendation to trade..! Please review my track record and calculate the odds for yourself..! You’re likes and comments encourage me to continue this. Stay tuned great live stream and quality content videos coming soon..! *** overall PLTR is famous for its wild moves! Please manage your risk ! **** this could be a left shoulder of a head and shoulder pattern..! ***** opening long position 20-25% of your trading capital in the first two weeks of March is not recommended!!! Moshkelgosha
PLong
by Moshkelgosha
10
PLTR: Light in the end of the tunnel?Hello traders and investors! Let’s talk about PLTR today! Let’s begin with the daily chart, then we talk about the weekly chart. First, the problem with PLTR is that it is losing its support level at $ 22.50. This would be dangerous, as PLTR has no other clear support levels below this point (maybe the $ 17, but I’m not sure). On the other hand, now would be the perfect time for a reaction. If we see a bullish sign on Monday, or a strong reaction today, the market may see a false breakout from this support level, and this could be a buy opportunity. Movements like this are buy opportunities because the Risk/Reward ratio is very attractive, and investors like good R/R ratio. But we must see a good reaction quickly, otherwise, the bear trend will persist. Now, the weekly chart: PLTR is not only near a support level in the daily chart. In the weekly chart, the stock just dropped to hit its 21 ema (it is a brand-new 21 ema, yes, because PLTR is a quite new stock as well, but we can’t deny we have one 21 ema now). We have 2 support levels in different time frames, and this is why I see this moment as a good opportunity for a reaction. It is not a buy, but it is not a sell either. We must patiently wait for more signs on PLTR. Given the high volume during the recent sell-off, we can assume that PLTR will not react and fly again. Scenarios like this are very unlikely after a sell-off with high volume. The volume must decrease first, and the stock must do some accumulation patterns before it can fly again, in my opinion. Let’s follow PLTR closely from now on, and if you want to keep in touch with my daily studies, remember to follow me . And if you’ve made this far, it means you found this analysis good in some way. If that’s the case, please, support it! Thank you very much, have a nice weekend.
P
by Nathan_The_Finance_Hydra
13
What we can expect from PLTR?Hello Guys, I would like to introduce to you my idea about the future of PLTR . I am a holder of 1000 shares from 24.01$ and I am long till a minimum of 200$. After the last week, we got few red days including yesterday, but as an Elliott wave trader, I can see an opportunity to jump in as like in AMC, I think we reached the bottom as you can see we already bounced few times from the support lane. After carefully checked the Fibonacci lvls, you can see that we bounced exactly from 61,8 for the 2nd wave of Elliot. The question is when we will start the Gamma Squeeze, maybe it will be on 19/3 ?!?, who knows. But in my opinion, the Gamma squeeze will be the 3 wave of the daily Elliot, till 81$ - 117$ range, It all depends to us, how long we will keep our Dimond hand. Just HOLD Guys, we can make it <3
PLong
by Senko0
2
$PLTR on historic supportHello traders. Let's get right into it: PLTR has tested the $23-$25 support range multiple times the past few months (about 12) . That level was tested 6 times the past 10 days or so. So far it has been holding like a champ. For that reason I think this is a relatively safe place to start a trade because if that level holds we will most likely see some upside sometime soon (perhaps modestly at first due to fear in the market). If we break below that level we can potentially revisit lower lows.The next support is around the $20-$21 range. Below that there is some support on the $16-$17 range. I believe this is an optimal entry because you can exit the trade with minimal harm if the price breaks and closes below the support. Additionally, there is bullish hidden divergence between RSI and price and MACD is in oversold territory. Finally, volume is decreasing considerably (though still above average), which means sellers are getting exhausted. If you want to be more conservative you can wait for a MACD crossover and move above the 0 level to place a trade. If you are a long term investor I think this is a good buy opportunity. That support zone is solid like a rock. Let's hope it keeps holding. Safe trades and good luck! ===If you get anything out of this TA, please hit the like button and/or follow for updates and new publications.=== ***The ideas shared here are my opinion, not financial advise to place trades. Please do your own research before buying/selling stocks***
P
by Safe_Trades
12
PLTR volume slope/MACD price divergences 2hDowntrend is getting weak. MACD and volume slope lines are diverging from the price. I also noticed how WEAK was 38 USD second peak. I mean it! compare volume near that level or near the first run(to 38) and the volume now near the bottom. Interesting isn't it? Either we got a lot of new buyers or people don't know if they have to sell or buy which results in a lot of transactions. Uncertainty s never good in my opinion which I consider as a trend drawback.
PLong
by kamileo