Every Palantir Investor Should Keep an Eye on This Number

Palantir Technologies (NASDAQ: PLTR) has been one of the undisputed winners since the advent of artificial intelligence (AI). The data mining and artificial intelligence (AI) specialist has gained 333% over the past year (as of this writing) and continues to defy detractors. The biggest growth driver has been Palantir's Artificial Intelligence Platform (AIP), which puts the power of AI at its customers' fingertips.The stock growth has been fueled by seven successive quarters of accelerating revenue growth and 13 consecutive quarters of profitability in accordance with generally accepted accounting principles (GAAP). Add to that Palantir's addition to the S&P 500 and the Nasdaq 100, and it's easy to understand why many were bullish.However, some investors see the stock flashing red as its stock price has far outpaced its underlying growth, resulting in a sky-high valuation. Furthermore, the Trump administration recently announced plans to cut defense spending by 8% annually. Despite the resulting freefall, Palantir stock is still trading for a blistering 183 times next year's expected earnings, making even bullish investors nervous.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool