PALANTIR TECHNOLOGIES INC-A (PTX.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:PTX - US69608A1088 - Common Stock
137.38 EUR
-2.52 (-1.8%)
We assign a fundamental rating of 6 out of 10 to PTX. PTX was compared to 114 industry peers in the Software industry. PTX is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. PTX is valued quite expensively, but it does show have an excellent growth rating. This makes PTX very considerable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year PTX was profitable.
- PTX had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: PTX reported negative net income in multiple years.
- Of the past 5 years PTX 4 years had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of PTX (13.50%) is better than 84.21% of its industry peers.
- PTX has a better Return On Equity (16.62%) than 69.30% of its industry peers.
- The Return On Invested Capital of PTX (8.63%) is better than 64.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.5% | ||
| ROE | 16.62% | ||
| ROIC | 8.63% |
ROA(3y)0.38%
ROA(5y)-11.69%
ROE(3y)0.24%
ROE(5y)-19.79%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 28.11%, PTX belongs to the top of the industry, outperforming 88.60% of the companies in the same industry.
- Looking at the Operating Margin, with a value of 21.81%, PTX is in the better half of the industry, outperforming 76.32% of the companies in the same industry.
- Looking at the Gross Margin, with a value of 80.81%, PTX is in the better half of the industry, outperforming 70.18% of the companies in the same industry.
- PTX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.81% | ||
| PM (TTM) | 28.11% | ||
| GM | 80.81% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.96%
GM growth 5Y3.56%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PTX is destroying value.
- PTX has more shares outstanding than it did 1 year ago.
- PTX has more shares outstanding than it did 5 years ago.
- There is no outstanding debt for PTX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 157.64 indicates that PTX is not in any danger for bankruptcy at the moment.
- PTX's Altman-Z score of 157.64 is amongst the best of the industry. PTX outperforms 99.12% of its industry peers.
- PTX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 157.64 |
ROIC/WACC0.78
WACC11.08%
2.3 Liquidity
- A Current Ratio of 6.43 indicates that PTX has no problem at all paying its short term obligations.
- PTX has a Current ratio of 6.43. This is amongst the best in the industry. PTX outperforms 91.23% of its industry peers.
- A Quick Ratio of 6.43 indicates that PTX has no problem at all paying its short term obligations.
- PTX has a better Quick ratio (6.43) than 91.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.43 | ||
| Quick Ratio | 6.43 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 82.86% over the past year.
- Measured over the past years, PTX shows a very strong growth in Earnings Per Share. The EPS has been growing by 43.07% on average per year.
- Looking at the last year, PTX shows a very strong growth in Revenue. The Revenue has grown by 47.23%.
- PTX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.01% yearly.
EPS 1Y (TTM)82.86%
EPS 3Y43.07%
EPS 5YN/A
EPS Q2Q%110%
Revenue 1Y (TTM)47.23%
Revenue growth 3Y22.95%
Revenue growth 5Y31.01%
Sales Q2Q%62.79%
3.2 Future
- Based on estimates for the next years, PTX will show a very strong growth in Earnings Per Share. The EPS will grow by 43.31% on average per year.
- Based on estimates for the next years, PTX will show a very strong growth in Revenue. The Revenue will grow by 42.63% on average per year.
EPS Next Y79.82%
EPS Next 2Y58.55%
EPS Next 3Y50.95%
EPS Next 5Y43.31%
Revenue Next Year56.56%
Revenue Next 2Y48.71%
Revenue Next 3Y45.44%
Revenue Next 5Y42.63%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- PTX is valuated quite expensively with a Price/Earnings ratio of 254.41.
- Compared to the rest of the industry, the Price/Earnings ratio of PTX is on the same level as its industry peers.
- The average S&P500 Price/Earnings ratio is at 28.82. PTX is valued rather expensively when compared to this.
- PTX is valuated quite expensively with a Price/Forward Earnings ratio of 159.01.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of PTX indicates a slightly more expensive valuation: PTX is more expensive than 64.91% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of PTX to the average of the S&P500 Index (25.95), we can say PTX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 254.41 | ||
| Fwd PE | 159.01 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PTX indicates a slightly more expensive valuation: PTX is more expensive than 71.93% of the companies listed in the same industry.
- PTX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 217.66 | ||
| EV/EBITDA | 441.13 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PTX does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of PTX may justify a higher PE ratio.
- PTX's earnings are expected to grow with 50.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.19
PEG (5Y)N/A
EPS Next 2Y58.55%
EPS Next 3Y50.95%
5. Dividend
5.1 Amount
- No dividends for PTX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
PALANTIR TECHNOLOGIES INC-A / PTX.DE FAQ
What is the ChartMill fundamental rating of PALANTIR TECHNOLOGIES INC-A (PTX.DE) stock?
ChartMill assigns a fundamental rating of 6 / 10 to PTX.DE.
What is the valuation status for PTX stock?
ChartMill assigns a valuation rating of 2 / 10 to PALANTIR TECHNOLOGIES INC-A (PTX.DE). This can be considered as Overvalued.
How profitable is PALANTIR TECHNOLOGIES INC-A (PTX.DE) stock?
PALANTIR TECHNOLOGIES INC-A (PTX.DE) has a profitability rating of 6 / 10.
How financially healthy is PALANTIR TECHNOLOGIES INC-A?
The financial health rating of PALANTIR TECHNOLOGIES INC-A (PTX.DE) is 8 / 10.