PALANTIR TECHNOLOGIES INC-A (PTX.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:PTX - US69608A1088 - Common Stock
139.38 EUR
-3.38 (-2.37%)
PTX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 114 industry peers in the Software industry. PTX has an excellent financial health rating, but there are some minor concerns on its profitability. PTX is valued quite expensive, but it does show an excellent growth. These ratings would make PTX suitable 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
- Looking at the Return On Assets, with a value of 13.50%, PTX belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
- PTX's Return On Equity of 16.62% is fine compared to the rest of the industry. PTX outperforms 68.42% of its industry peers.
- With a decent Return On Invested Capital value of 8.63%, PTX is doing good in the industry, outperforming 64.04% of the companies in the same industry.
| 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
- With an excellent Profit Margin value of 28.11%, PTX belongs to the best of the industry, outperforming 87.72% of the companies in the same industry.
- PTX has a better Operating Margin (21.81%) than 75.44% of its industry peers.
- PTX's Gross Margin of 80.81% is fine compared to the rest of the industry. PTX outperforms 69.30% of its industry peers.
- In the last couple of years the Gross Margin of PTX has grown nicely.
| 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.
- The number of shares outstanding for PTX has been increased compared to 1 year ago.
- Compared to 5 years ago, PTX has more shares outstanding
- 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 159.59 indicates that PTX is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 159.59, PTX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- 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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 159.59 |
ROIC/WACC0.78
WACC11.1%
2.3 Liquidity
- A Current Ratio of 6.43 indicates that PTX has no problem at all paying its short term obligations.
- PTX's Current ratio of 6.43 is amongst the best of the industry. PTX outperforms 91.23% of its industry peers.
- PTX has a Quick Ratio of 6.43. This indicates that PTX is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 6.43, PTX belongs to the best of the industry, outperforming 91.23% of the companies in the same industry.
| 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.
- PTX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 43.07% yearly.
- PTX shows a strong growth in Revenue. In the last year, 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
- The Earnings Per Share is expected to grow by 43.31% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 42.63% on average over the next years. This is a very strong growth
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
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- 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
- With a Price/Earnings ratio of 258.11, PTX can be considered very expensive at the moment.
- PTX's Price/Earnings ratio is a bit more expensive when compared to the industry. PTX is more expensive than 60.53% of the companies in the same industry.
- PTX is valuated expensively when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
- PTX is valuated quite expensively with a Price/Forward Earnings ratio of 160.07.
- 65.79% of the companies in the same industry are cheaper than PTX, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, PTX is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 258.11 | ||
| Fwd PE | 160.07 |
4.2 Price Multiples
- 72.81% of the companies in the same industry are cheaper than PTX, based on the Enterprise Value to EBITDA ratio.
- PTX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 219.11 | ||
| EV/EBITDA | 446.79 |
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.
- PTX has a very decent profitability rating, which 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)3.23
PEG (5Y)N/A
EPS Next 2Y58.55%
EPS Next 3Y50.95%
5. Dividend
5.1 Amount
- PTX does not give a dividend.
| 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.