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My Take: 3 Bullish Signs for Palantir Investors

By Jose Najarro - Updated May 12, 2021 at 10:17AM

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Palantir just reported earnings, and the stock price is up. Here are three bullish signs for long-term investments.

In today's video, I look at Palantir's (PLTR -7.00%) earnings. The stock price is up, but it is still down over 45% from its 52-week high. Below I share three bullish signs for the company.

Three bullish signs for Palantir

  1. Palantir reported strong guidance for the upcoming quarter and year. For the second quarter, Palantir expects year-over-year revenue growth of 43% and an adjusted operating margin of 23%. For the long term, Palantir believes it can provide over 30% revenue growth this year and for the next four years.
  2. Palantir not only saw growth in customer count, but it also saw growth in average revenue per customer. For the trailing 12 months ended March 31, 2021, Palantir saw 29% year-over-year growth in revenue per customer. During the same time frame, the average revenue per top 20 customers has grown 34% year over year.
  3. Palantir is now positive in both cash flow from operations and adjusted free cash flow, compared to the same time last year when both were negative.

Click the video below for my full thoughts. 

*Stock prices used were the midday prices of May 11, 2021. The video was published on May 11, 2021. 

Jose Najarro has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Palantir Technologies Inc. The Motley Fool has a disclosure policy. Jose is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

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Palantir Technologies Inc. Stock Quote
Palantir Technologies Inc.
$8.51 (-7.00%) $0.64

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