Palantir ($PLTR) Technical and Fundamental Analysis


Chart done on daily timeframe. The stars aligned for Palantir in 2023 as the hype around artificial intelligence companies grew and helped the stock push. This is the case for many companies that are involved in artificial intelligence, even the ones that aren’t performing well fundamentally. Palantir’s fundamentals aren’t terrible, but it’s certainly considered overvalued at 34B; however this doesn’t mean it will come down. During bull market cycles where greed is growing, even the most overvalued companies can rally on for months and years before seeing a correction. The company’s revenue is barely reaching 2B, but it’s growing at a decent rate year over year, they’ll need to upkeep that growth to maintain that 34B valuation. I’d like to see them close this year with 3B+ in revenue. The balance sheet is healthy with a ratio of 3:1 in asset vs liabilities, and free cash flow is positive. 

On the very short term, PLTR is holding a bullish trend and will remain most bullish above 16.00, below that it can see 13.50-14.00. Buyers want to see a breakout above the 19.00-20.00 resistance for continuation.