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Had the same thought, but look at Price to Sales (Revenue) ratio. Huge difference between Palantir and both Tesla/Amazon at their respective peak P/E ratio. If
by renniehaylock 1y ago
Had the same thought, but look at Price to Sales (Revenue) ratio. Huge difference between Palantir and both Tesla/Amazon at their respective peak P/E ratio. If you're betting on growth, then P/S ratio is a really useful metric and even by that standard PLTR is way overvalued.
Peak P/S Ratios:
PLTR (150 now): https://www.macrotrends.net/stocks/charts/PLTR/palantir-technologies/price-sales https://www.macrotrends.net/stocks/charts/PLTR/palantir-tech...
TSLA (23, in 2020): https://macrotrends.net/stocks/charts/TSLA/tesla/price-sales https://macrotrends.net/stocks/charts/TSLA/tesla/price-sales
AMZN (4, in 2018): https://macrotrends.net/stocks/charts/AMZN/amazon/price-sales https://macrotrends.net/stocks/charts/AMZN/amazon/price-sale...