Palantir: Valuation Is Blind To Warning Signs

  • While Palantir benefits from strong AI tailwinds and a high net dollar retention rate, these positives are already generously reflected in the stock price. Palantir's stock is significantly overvalued, with a DCF analysis indicating a 60% downside despite aggressive growth assumptions. Moreover, paying 6x revenue ten years from now (FY2034 P/S) is a risky proposition, given the rapidly changing tech landscape.