Is Palantir Stock a Buy?
2024 has been the year of Palantir (NASDAQ: PLTR). The stock has climbed nearly 342% year to date as of this writing while also gaining admittance to both the S 500 and the Nasdaq-100 indexes.
Here's the question on everyone's mind, though: Is the stock still a buy heading into 2025?
When looking at Palantir, one of the first things that stands out is its valuation. The stock's momentum this year has led it to trade at a forward price-to-sales (P/S) ratio of nearly 50 times 2025 analyst estimates. If we take out its nearly $4.6 billion of net cash and use an enterprise-value-to-sales multiple (EV/S), it still trades at 45.5 times. Meanwhile, the company grew its revenue by just 30% year over year last quarter and forecast revenue growth of 27% at the high end of its guidance for Q4.
Source Fool.com
