Palantir has risen more than 3,200% from its 2022 all-time low, pulled back into correction territory last week, then recovered to about 7% below its mid-month record high. The author argues its productivity gains for clients, such as Wendy's cutting an order and inventory tracking process from weeks to five minutes, justify a premium valuation, but notes analysts forecast 84% revenue growth this year and 50% in 2027. The stock trades at a P/E of 166, about 121 forward earnings, and 83 on 2027 earnings, so the author says much of the growth already appears priced in. Given that, the author prefers to watch the stock rather than add to a position, warning that any slowdown in growth could push the stock lower.
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