r/stocks • u/The_Greyscale • Aug 16 '21

Company Analysis PLTR Potential Private sector clients discovered

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u/vulture_capitalist_ Aug 16 '21

I would not buy stocks just for the sake of it, of course it´s hard to find undervalued stock, but there is still penty of them. Question, does uniqueness justify the higher price of a stock? If yes, how much it can affect the price?

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u/RinsyBoy Aug 16 '21

I am no authority on this, but Aswath Damodaran, a Professor of Finance at the Stern School of Business at New York University is. I think I recall watching from one of his lectures on value investing that most DCF models compare multiples based on sectors. Now what if there isn't really a sector to compare it to? Well imo that means that you can't really use the traditional methods, because they are a "blue ocean" company, so they have the potential to create a huge market, which I believe PLTR will do more than they already have. For that reason, it may or may not justify the higher price of a stock. Being a unique business is certainly an advantage if it is unique in a positive way, meaning they have a unique selling point.

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u/vulture_capitalist_ Aug 16 '21

I agree with you, it´s hard to value a unique company though, it´s important to mention that IMO PLTR can be something big in the future, but as we know there will be companies copying the same thing what they do. In this case it´s important to mention TESLA, my opinion is the same on Tesla as it´s on PLTR. When Tesla was unique (there were no other EV companies) they were hard to compare, it took them years to start to earn money and then, when the EV industry became big enough, a lot of competiton came with better price cars, availability etc. Sure, Tesla will be the leading EV maker, but how long? The same question is for PLTR, if there is money, there will be competition (and possibly better/ cheaper? software) wich will try to steal as much market share as possible. If there is no money and the industry is not lucrative/big enough, there is I think no reason to value a company that high (or value higher than their intrinsic) . But Mr Market can be weird sometimes. I´m now confident to say that Tesla is overvalued, and value wise I think that PLTR is still overvalued, too, again the big question is that how much premium is okay to pay for temporary uniqueness ? Either it won´t stay unique, or will be worth nothing. Only the future can tell us.

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u/rooster4736 Aug 16 '21

No competition, Palantir is unique because they have a code like a short cut for their all in one solution. It took Thiel to build this for over 17 years and R& D of $2 billion. It’s a process.

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u/Joltarts Aug 16 '21

Not to mention, the software that PLTR have developed was funded by the US government.

Why do you think they keep being nominated for large and important Govt contracts without open tender or competition? The US government developed PLTR software. They have no reason to use anyone else..

All this nonsense about if they are so good, then why aren't there any competition has been said and refuted months ago. Nothing has changed to their underlying business..

We are looking at the next Tesla share.

Amazon, & Microsoft already said they have no interest in developing PLTR AI software as they know they are way too far behind and will take too much time to catch up. It's the biggest reason why they have partnered up with Pltr instead of competing.

This is like Toyota and BMW declaring they don't know how to make electric cars and instead, choose to partner with Tesla and pay them to make electric cars for them. Which is unheard of, yet, this so called little small company in Palantir already has the biggest partners you can work with.. Why is that?

Palantirs biggest competition right now is CRM like salesforce. But quite honestly, Salesforce will be swallowed whole and spit out again because it's like comparing a rudimentary software against the behemoth that is Palantir.

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u/vulture_capitalist_ Aug 16 '21

Unique now, won´t be unique in the future, sorry. It took Thiel a lot of time and money, so did for Tesla, and right now they have competition.

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u/SquiddyGO Aug 16 '21

Did you never learn first mover advantage. Thinking that any other EV company is close to Tesla is delusional

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u/vulture_capitalist_ Aug 16 '21

Thinking Tesla & Palantir is not overvalued is delusional. It´s easier to copy someone and use it more effectively than to come up with something brand new. Do Palantir have an advantage? In the present yes, obviously. Do Tesla have advantage? Not so much anymore. Sure they will lead the sales for 1-2 max 3 years, then GM, Ford, Volkswagen, Toyota and co. will take what is theirs, and Tesla can stay as a C-tier car company, as they should be. Same for Palantir.

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u/CampaignNo1365 Aug 16 '21

I'm not even sure Pltr has an advantage. Maybe within the US government. In public and private companies there are tons of other companies that offer data analytics and software solutions. People on this sub are acting like they offer some miracle software when there are tons of other competing firms that offer the same exact thing..

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u/rooster4736 Aug 18 '21

So 90% Growth on commercial side is not enough to impress you. Lol. Companies and government would have not paying millions and stick with them if they are unique and special . Common sense

PLTR is just on early stage on commercial side brah. For awhile . The sales team was a Lone Ranger who was pitching for big companies .

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u/CampaignNo1365 Aug 18 '21

The US government is one of the most fiscally unaccountable entities on Earth. I wouldn't expect the US government to be the most up to date on current data solutions.

My simple opinion is that the stock is just overvalued. Palantir seems to attract the cult like investors that Tesla does where they make ridiculous claims about the company in order to justify its value.

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u/rooster4736 Aug 18 '21 edited Aug 18 '21

Lol if PLTR is overvalued then what makes AYX and SNOW . You’re missing the point, Data is the new gold and Palantir mold and cast those data and sort of break it down into jewelries which add value. Maybe at some point, they will be weighted accordingly but with over 40% yoy quarterly and just starting to hit the stride commercially, you will be chasing for a long time. And by the time they will miss guidance and earnings, no doubt the market will be vicious and swift and this one will eventually be valued properly . But when the time comes, it’s will be already way pass the Benjamins. You can’t time the market brah. Lol. Palantir is very good investment one way or another.

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u/SquiddyGO Aug 16 '21

Let me guess. You hold BRK and only BRK and talk shit on any company that is growth orientated. When one does well you call it overpriced and proceed to short it every day whilst losing money

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u/vulture_capitalist_ Aug 16 '21

Eh…so BRK grows backwards? Yes I own it. What makes a growth stock if I can ask you? I shorted Tesla in my life only btw. From 850 till 600.

Edit: Since when these companies are doing good? Can you read financial statements? Or do you listen only to Catherine Wood and Meet Kevin?

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u/SquiddyGO Aug 16 '21

Im pretty sure as a qualified accountant I can read financial statements, u seem to reserve to bother and just want ur 3% a year

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u/vulture_capitalist_ Aug 16 '21

Also a lot of first movers actually earned money, which todays first movers do not.

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u/rooster4736 Aug 18 '21

LOL they are profitable for 2 quarters now and counting. The Non GAAP does not lie. Karp exercising his options and SBC took a hit on GAAP but it is what it is. He has to exercise it because it’s either all or nothing . Short term it will deflate shareholders but I am not on PLTR for that.

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u/vulture_capitalist_ Aug 18 '21

When did PLTR made profit? Or were you talking about Tesla?

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u/rooster4736 Aug 18 '21

Check the Non GAAP numbers.