Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin46.9%
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin48.8%
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Financial Health
A
Years to Pay Off Debt0.2 yrs
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt$10.7B
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital$11.0B
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Valuation
F
Margin of Safety0.0%
How far below the Graham Number the stock trades. Graham required a 33% discount as a buffer against analytical error. However, the Graham Number itself assumes 1960s-era P/E and P/B norms — for modern asset-light businesses it often understates true intrinsic value, making 0% MoS appear misleadingly bad.
Price-to-Book32.95x
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Cash Flow
A
Free Cash Flow$1.2B
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income0.7%
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings$1.1B
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
About Palantir Technologies Inc.
Palantir Technologies Inc. builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations in the United States, the United Kingdom, and internationally. It provides Palantir Gotham integrates with other platforms for defense offerings which enables users to see, understand, and act in the modern battlespace; operations centers to the tactical edge; integrating data from domains and sensors in near real-time; and situational awareness and accelerating operational decision-making, as well as facilitates the hand-off between analysts and operational users, helping operators plan and execute real-world responses to threats that have been identified within the platform. It also offers Palantir Foundry, a platform that helps organizations operate by creating a central operating system for their data; and allows individual users to integrate and analyze the data they need in one place. In addition, it provides Palantir Apollo, a software that delivers software and updates across the business, as well as enables customers to deploy their software virtually in any environment; and Palantir Artificial Intelligence Platform that provides unified access to open-source, self-hosted, and commercial large language models (LLMs) that can transform structured and unstructured data into LLM-understandable objects and can turn organizations' actions and processes into tools for humans and LLM-driven agents. The company also has a strategic partnership with Ondas Inc. to develop and deploy AI-enabled operational capabilities to scale stratospheric, aerial, and land-based ISR missions. The company has a strategic collaboration with NVIDIA to deliver an intelligent engine for running NVIDIA AI and Nemotron open models in sovereign environments and with PwC to transform critical business operations and deliver measurable enterprise value. The company was incorporated in 2003 and is headquartered in Aventura, Florida.
Palantir Technologies Inc. builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations in the United States, the United Kingdom, and internationally. It provides Palantir Gotham integrates with other platforms for defense offerings which enables users to see, understand, and act in the modern battlespace; operations centers to the tactical edge; integrating data from domains and sensors in near real-time; and situational awareness and accelerating operational decision-making, as well as facilitates the hand-off between analysts and operational users, helping operators plan and execute real-world responses to threats that have been identified within the platform. It also offers Palantir Foundry, a platform that helps organizations operate by creating a central operating system for their data; and allows individual users to integrate and analyze the data they need in one place. In addition, it provides Palantir Apollo, a software that delivers software and updates across the business, as well as enables customers to deploy their software virtually in any environment; and Palantir Artificial Intelligence Platform that provides unified access to open-source, self-hosted, and commercial large language models (LLMs) that can transform structured and unstructured data into LLM-understandable objects and can turn organizations' actions and processes into tools for humans and LLM-driven agents. The company also has a strategic partnership with Ondas Inc. to develop and deploy AI-enabled operational capabilities to scale stratospheric, aerial, and land-based ISR missions. The company has a strategic collaboration with NVIDIA to deliver an intelligent engine for running NVIDIA AI and Nemotron open models in sovereign environments and with PwC to transform critical business operations and deliver measurable enterprise value. The company was incorporated in 2003 and is headquartered in Aventura, Florida.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Margin of Safety
How far below the Graham Number the stock trades. Graham required a 33% discount as a buffer against analytical error. However, the Graham Number itself assumes 1960s-era P/E and P/B norms — for modern asset-light businesses it often understates true intrinsic value, making 0% MoS appear misleadingly bad.
Price-to-Book
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Mr. Market is currently offering Palantir Technologies Inc. at $160.38.
The business passes only 2 of 6 of Graham's defensive criteria — well below his required standard.
At $160.38, the stock trades at a 2211% premium to its Graham Number of $6.94. Graham would consider this price speculative.
There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.
Trading at 34.6x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies..
Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.
Showing Key Metrics
Income Highlights
Metric
Q3 2026
Q4 2025
Gross Profit %
83.4%▼
84.6%
Operating Margin %
46.9%▲
40.9%
Net Income %
48.8%▲
43.3%
Diluted EPS
0.44▲
0.24
Balance Sheet Highlights
Metric
Q3 2026
Q4 2025
Total Assets
$13.4B
$8.9B
Total Debt
$225M▼
$229M
Working Capital
$11.0B▲
$7.2B
Years to Pay Debt
0.20
0.38
Cash Flow Highlights
Metric
Q3 2026
Q4 2025
Free Cash Flow
$1.2B▲
$764M
Owner Earnings
$1.1B
$629M
CapEx % of Net Income
0.7%
2.2%
Income Statement
2026
2025
Tax Rate For Calcs
0
0
Normalized EBITDA
1,091,891
582,412
Net Income From Continuing Operation Net Minority Interest
1,128,012
608,676
Reconciled Depreciation
7,046
7,018
Reconciled Cost Of Revenue
383,286
215,966
EBITDA
1,091,891
582,412
EBIT
1,084,845
575,394
Net Interest Income
88,936
62,723
Interest Income
88,936
62,723
Normalized Income
1,128,012
608,676
Net Income From Continuing And Discontinued Operation
1,128,012
608,676
Total Expenses
1,228,566
831,408
Total Operating Income As Reported
1,084,845
575,394
Diluted Average Shares
2,573,926
2,573,497
Basic Average Shares
2,405,718
2,386,904
Diluted EPS
0
0
Basic EPS
0
0
Diluted NI Availto Com Stockholders
1,128,012
608,676
Net Income Common Stockholders
1,128,012
608,676
Net Income
1,128,012
608,676
Minority Interests
-6,429
-2,931
Net Income Including Noncontrolling Interests
1,134,441
611,607
Net Income Continuous Operations
1,134,441
611,607
Tax Provision
13,560
9,776
Pretax Income
1,148,001
621,383
Other Income Expense
-25,780
-16,734
Other Non Operating Income Expenses
-25,780
-16,734
Net Non Operating Interest Income Expense
88,936
62,723
Interest Income Non Operating
88,936
62,723
Operating Income
1,084,845
575,394
Operating Expense
845,280
615,442
Research And Development
219,720
143,554
Selling General And Administration
625,560
471,888
Selling And Marketing Expense
396,711
302,126
General And Administrative Expense
228,849
169,762
Other Gand A
228,849
169,762
Gross Profit
1,930,125
1,190,836
Cost Of Revenue
383,286
215,966
Total Revenue
2,313,411
1,406,802
Operating Revenue
2,313,411
1,406,802
Balance Sheet
2026
2025
Ordinary Shares Number
2,409,153
2,391,192
Share Issued
2,409,153
2,391,192
Total Debt
225,267
229,338
Tangible Book Value
11,227,981
7,387,268
Invested Capital
11,227,981
7,387,268
Working Capital
10,970,054
7,182,593
Net Tangible Assets
11,227,981
7,387,268
Capital Lease Obligations
225,267
229,338
Common Stock Equity
11,227,981
7,387,268
Total Capitalization
11,227,981
7,387,268
Total Equity Gross Minority Interest
11,345,100
7,488,011
Minority Interest
117,119
100,743
Stockholders Equity
11,227,981
7,387,268
Gains Losses Not Affecting Retained Earnings
-12,435
13,942
Other Equity Adjustments
-12,435
13,942
Retained Earnings
-501,961
-3,562,390
Additional Paid In Capital
11,739,968
10,933,325
Capital Stock
2,409
2,391
Common Stock
2,409
2,391
Total Liabilities Net Minority Interest
2,067,876
1,412,381
Total Non Current Liabilities Net Minority Interest
270,160
236,800
Other Non Current Liabilities
11,965
7,092
Non Current Deferred Liabilities
32,928
46,234
Non Current Deferred Revenue
32,928
46,234
Long Term Debt And Capital Lease Obligation
225,267
183,474
Long Term Capital Lease Obligation
225,267
183,474
Current Liabilities
1,797,716
1,175,581
Other Current Liabilities
353,103
Current Deferred Liabilities
1,173,828
766,029
Current Deferred Revenue
1,173,828
766,029
Current Debt And Capital Lease Obligation
45,864
Current Capital Lease Obligation
45,864
Payables And Accrued Expenses
270,785
363,688
Current Accrued Expenses
181,025
355,624
Payables
89,760
8,064
Total Tax Payable
Accounts Payable
89,760
8,064
Total Assets
13,412,976
8,900,392
Total Non Current Assets
645,206
542,218
Other Non Current Assets
335,268
290,153
Net PPE
309,938
252,065
Accumulated Depreciation
-149,091
Gross PPE
309,938
401,156
Leases
98,302
Construction In Progress
9,999
Other Properties
309,938
200,105
Machinery Furniture Equipment
92,750
Current Assets
12,767,770
8,358,174
Other Current Assets
322,741
139,066
Receivables
1,883,498
1,042,065
Accounts Receivable
1,883,498
1,042,065
Cash Cash Equivalents And Short Term Investments
10,561,531
7,177,043
Other Short Term Investments
6,942,117
5,753,247
Cash And Cash Equivalents
3,619,414
1,423,796
Cash Flow
2026
2025
Free Cash Flow
1,196,556
764,023
Repurchase Of Capital Stock
-19,196
Capital Expenditure
-8,014
-13,272
End Cash Position
3,652,817
1,451,425
Beginning Cash Position
2,063,358
1,644,826
Effect Of Exchange Rate Changes
2,092
-1,967
Changes In Cash
1,587,367
-191,434
Financing Cash Flow
11,737
-10,898
Cash Flow From Continuing Financing Activities
11,737
-10,898
Net Other Financing Charges
-1,112
30
Proceeds From Stock Option Exercised
12,849
8,268
Net Common Stock Issuance
-19,196
Common Stock Payments
-19,196
Investing Cash Flow
371,060
-957,831
Cash Flow From Continuing Investing Activities
371,060
-957,831
Net Other Investing Changes
0
Net Investment Purchase And Sale
379,074
-944,559
Sale Of Investment
2,061,636
665,988
Purchase Of Investment
-1,682,562
-1,610,547
Net PPE Purchase And Sale
-8,014
-13,272
Purchase Of PPE
-8,014
-13,272
Operating Cash Flow
1,204,570
777,295
Cash Flow From Continuing Operating Activities
1,204,570
777,295
Change In Working Capital
-271,076
-48,564
Change In Other Working Capital
140,468
78,534
Change In Other Current Liabilities
-9,846
-15,359
Change In Payables And Accrued Expense
116,143
-85,923
Change In Payable
116,143
-85,923
Change In Account Payable
116,143
-85,923
Change In Prepaid Assets
-108,204
1,636
Change In Receivables
-409,637
-27,452
Changes In Account Receivables
-409,637
-27,452
Other Non Cash Items
-11,975
-5,394
Stock Based Compensation
318,889
196,405
Unrealized Gain Loss On Investment Securities
27,245
16,223
Depreciation Amortization Depletion
7,046
7,018
Depreciation And Amortization
7,046
7,018
Net Income From Continuing Operations
1,134,441
611,607
📊Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.
Quarter vs Same Quarter Last Year
YoY strips seasonality
Revenue Growth (YoY)
Prior year: $1.2B▲ $2.3B+95.9%
Revenue growth vs same quarter last year strips seasonality. Consistent double-digit growth is a Buffett hallmark.
Gross Margin
Prior year: 82.4%▲ 83.4%+1.0pp
Buffett: consistent gross margin above 40% signals durable pricing power and competitive moat.
Operating Margin
Prior year: 91.9%▲ 46.9%-45.0pp
Graham: operating margin reflects true business economics before financing. Trend matters as much as level.
Net Margin
Prior year: 40.3%▲ 48.8%+8.5pp
Net margin can be distorted by one-time items, tax timing, or interest costs — compare to operating margin for signal quality.
Quarterly Health Checks
3 Graham/Buffett criteria that are valid and reliable on quarterly data
✅ Adequate Size
Graham required scale for resilience. Quarterly revenue × 4 gives an annualised proxy.
$2.3B/qtr (≈$9.3B ann.)
vs > $1.5B annualised revenue
✅ Financial Condition
Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.
7.10x current ratio
vs ≥ 2.0x
✅ Free Cash Flow
Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.
$1.2B
vs Positive
Operating Cash Flow
$1.2B
Latest quarter · Buffett's cash reality check
ROIC
7.4%
Based on latest annual operating income
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Market Cap / Net Assets
32.6x
Net Assets: $11.3B
Asset Context — Software - Infrastructure
Software companies store most of their value in code, IP, recurring revenue, and customer relationships — none of which appear on the balance sheet under GAAP. Book value and Net Assets are poor proxies for intrinsic value here. Focus on ROIC, gross margin trajectory, and free cash flow instead.
⚠️Revenue grew vs prior year but operating margin contracted. Possible explanations: deliberate investment in growth (hiring, marketing, R&D), input cost inflation, or pricing pressure from competition. Buffett distinguishes between spending that builds moat vs. spending that doesn't.
Peers & Industry
No auto-detected peers for Software - Infrastructure. You can manually compare PLTR against any stock using the Compare tool.
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
Capital Allocation & Alignment
Insider Ownership
3.50%
Moderate — some alignment with shareholders
Return on Equity (ROE)
10.0%
Adequate — returns are moderate
Return on Assets (ROA)
8.4%
Strong — management uses assets efficiently
Share Buybacks (Latest Year)
$75M
Management is returning capital to shareholders via buybacks
Debt Trend YoY
+6.6% YoY
Debt is roughly stable
Leadership Team
Alexander Karp
Co-Founder, CEO & Director
Age 58
Pay: $8,623,000
0.764% of net income
Stephen Andrew Cohen
Co-Founder, President, Secretary & Director
Age 41
Pay: $1,003,995
0.089% of net income
David Glazer
CFO & Treasurer
Age 40
Pay: $486,735
0.043% of net income
Peter Andreas Thiel
Co-Founder & Chairman
Age 58
Joseph Todd Lonsdale
Co-Founder
Age 42
Top Institutional Holders
Institution
% Owned
Shares
Blackrock Inc.
8.70%
189,817,693
Vanguard Capital Management LLC
6.70%
146,137,514
State Street Corporation
4.79%
104,490,468
Invesco Ltd.
3.23%
70,438,517
Geode Capital Management, LLC
2.54%
55,334,968
Vanguard Portfolio Management LLC
2.31%
50,276,809
Morgan Stanley
1.56%
34,021,287
NORGES BANK
1.43%
31,076,211
Risk Analysis
Beta (Market Risk)
1.61
High volatility — moves more than the market
Short Interest
2.6% of float
Low short interest — market is not heavily bearish
Debt-to-Equity
0.02x
Conservative balance sheet — low financial risk
Current Ratio
7.10x
Strong liquidity — Graham approved
52-Week Price Range
Low: $106.37Current: $160.38High: $212.94
Currently at 51% of 52-week range
Palantir Technologies Inc. (PLTR) fundamental analysis — Overall grade B based on profitability, financial health, valuation and cash flow. Graham's
Fair Value: $6.94. Margin of safety: 0%. Gross profit margin: 83.4%. Operating margin: 46.9%. Net margin: 48.8%. Market cap: $386.4B. Sector: Technology. Industry: Software - Infrastructure. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett
principles.
Disclaimer: 360investing is provided for informational and educational purposes only and does not constitute financial, investment, legal, or tax advice. All data is sourced from public third-party providers
and may be delayed, inaccurate, or incomplete. Past performance is not indicative of future results. Analysis, scores, and valuations are algorithmic and do not represent professional investment recommendations. Always conduct your own due
diligence and consult a qualified financial adviser before making any investment decision. Use of this tool constitutes acceptance that 360investing and its operators bear no liability for decisions made based on information presented here.