Palantir shares have risen more than 1,000% over the past three years, and a $10,000 investment on its first trading day in 2020 would be worth about $212,000 today. Q2 revenue rose 93% year over year, with U.S. commercial revenue up 149% and an adjusted operating margin of 62%. At a trailing P/E of 167 and price-to-sales of 81, the stock is the most expensive in the S&P 500 on the latter metric, which leaves it vulnerable to missteps or market concerns. The article's scenario assumes 20% compound annual revenue growth for 10 years, reaching about $51 billion in sales; at a price-to-sales ratio of 25, the market cap would be nearly $1.3 trillion and a $10,000 investment would be worth about $27,000.
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