Palantir Technologies Inc. (PLTR) Stock Analysis

Analysis from 10-Q filed 2025-11-04. Data as of Q2 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 34.1%. FCF margin 54.6%. D/E 0.0x. Source: 10-Q filed 2025-11-04.

Metric	Value	Context
ROIC	34.1%	Above industry average
FCF Margin	54.6%	Strong cash generation
Debt/Equity	0.0x	Conservative leverage

ROIC 34.1% — Top 5% of sector peers. FCF margin 54.6% — Top 5%.

Explore Palantir Technologies Inc.: Earnings History | Filings

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for PLTR: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: Palantir Technologies Inc. earns 34.1% ROIC, Top 5% in Technology

ROIC TTM 34.1%, sector median 3.5%, Top 5%. DuPont: NOPAT margin 42.2% × asset turnover 0.7x. Gross margin 84.8%. Operating margin 42.8%. Source: 10-Q filed 2025-11-04.

Metric	PLTR	Rating	Context
Return on Invested Capital (ROIC)	34.1%	Excellent	Above sector median of 3.5%
Return on Equity (ROE)	39.9%	Excellent	Efficient use of shareholder equity
Gross Margin	84.8%	Excellent	Strong pricing power
Operating Margin	42.8%	Excellent	Efficient operations

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Cash Flow: Palantir Technologies Inc. generates $3.4B FCF at 54.6% margin, positive NaN/8 quarters

FCF TTM $3.4B. FCF margin 54.6%, Top 5%. OCF/Net income 1.1x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-11-04.

Metric	PLTR	Rating	Context
Free Cash Flow Margin	54.6%	Excellent	Excellent cash conversion
Free Cash Flow (TTM)	$3.4B	Good	Positive cash generation
OCF/Net Income	1.1x	Excellent	High earnings quality
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet: Palantir Technologies Inc. at 0.0x leverage

Debt/Equity 0.0x. Source: 10-Q filed 2025-11-04.

Metric	PLTR	Rating	Context
Debt to Equity	0.0x	Excellent	Conservative capital structure

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Valuation: Palantir Technologies Inc. trades at 92.4x earnings

P/E 92.4x. EV/Sales 60.2x. FCF yield 1.2%. Source: 10-Q filed 2025-11-04.

Metric	PLTR	Rating	Context
P/E Ratio	92.4x	Warning	Premium valuation
EV/Sales	60.2x	Warning	Growth premium priced in
FCF Yield	1.2%	Warning	Lower cash yield

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Capital Allocation: Palantir Technologies Inc. returns 0.0% shareholder yield

Total shareholder yield 0.0% (buyback 0.0%). Capital returned $39.9M TTM. Source: 10-Q filed 2025-11-04.

Metric	PLTR	Rating	Context
Total Shareholder Yield	0.0%	Adequate	Dividend + buyback yield combined
Buyback Yield	0.0%	Adequate	Minimal buyback activity
Total Capital Returned (TTM)	$39.9M	Good	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	34.1%	Top 5%	9.6x above
Free Cash Flow Margin	54.6%	Top 5%	6.4x above
Gross Margin	84.8%	Top 25%	1.7x above
Operating Margin	42.8%	Top 5%	9.2x above
Return on Equity (ROE)	39.9%	Top 25%	7.3x above
P/E Ratio	92.4x	N/A	-

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Financial Scorecard

Metric	PLTR	Rating	Sector Context
Return on Invested Capital (ROIC)	34.1%	Excellent	Top 5% of sector (median: 3.5%)
Free Cash Flow Margin	54.6%	Excellent	Top 5% of sector (median: 8.5%)
Gross Margin	84.8%	Excellent	Top 25% of sector (median: 50.3%)
Debt to Equity Ratio	0.0%	Excellent	Conservative capital structure
P/E Ratio (Price-to-Earnings)	92.4x	Warning	High expectations priced in
Free Cash Flow Yield	1.2%	Warning	Growth-focused valuation

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Frequently Asked Questions

Q: What is Palantir Technologies Inc.'s Return on Invested Capital (ROIC)?

Palantir Technologies Inc. (PLTR) has a trailing twelve-month Return on Invested Capital (ROIC) of 34.1%. Sector median 3.5%. Source: 10-Q filed 2025-11-04.

Q: What is Palantir Technologies Inc.'s Free Cash Flow Margin?

Palantir Technologies Inc. (PLTR) has a free cash flow margin of 54.6%, generating $3.4 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-11-04.

Q: What is Palantir Technologies Inc.'s P/E ratio and how does it compare to peers?

Palantir Technologies Inc. (PLTR) trades at a P/E ratio of 92.4x, which is above the sector median of N/A. EV/Sales 60.2x. FCF yield 1.2%. Source: 10-Q filed 2025-11-04.

Q: What is Palantir Technologies Inc.'s revenue and earnings growth?

Palantir Technologies Inc. (PLTR) grew revenue by 78.9% year-over-year. EPS +288.2% YoY. Source: 10-Q filed 2025-11-04.

Q: How does Palantir Technologies Inc. compare to competitors in Technology?

Compared to other companies in Technology, Palantir Technologies Inc. (PLTR) shows: ROIC 34.1%, sector median 3.5% (Top 5%). FCF margin 54.6%, sector median 8.5% (Top 5%). Gross margin 84.8%, 34.5pp above sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.

Q: What warning signs should I watch for with Palantir Technologies Inc.?

No quantitative warning flags fired for Palantir Technologies Inc. (PLTR) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2025-11-04.

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Data Source: Data sourced from 10-Q filed 2025-11-04. TTM metrics as of Q2 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.