Plentiful Palantir Pain
Touted as one of the massive contenders in intellectual and proprietary knowledge surrounding their government contracts, Palantir has found nearly every way to underperform and leave shareholders holding the bag. Initially going public in October in 2020, Palantir had an impressive run-up in the following months, only to start a gradual (and more recently aggressive) downward trend. Palantir reported Q4 2021 and FY 2021 on Thursday. Following the announcement, the stock opened down 11% and closed down over 20% to end the trading day Friday. You hate to see it.
I’m still thoroughly convinced that most Palantir shareholders couldn’t even tell you what the company does. I’ll admit that I don’t. All I know is that I am an ignorant skeptic (the worst type of people, I know). I encourage anyone to strike up a conversation with someone who owns Palantir stock and ask them what the company does just to see if they can provide some type of coherent and logical statement. Sorry, just a quick aside.
Palantir reported a meager net loss of $156 million & $520 million for Q4 2021 & FY 21, respectively. But revenues were up drastically! Total revenue for FY 21 was up 41% year-over-year to an impressive $1.54 billion. This may be the case, but the company still isn’t doing itself nor its shareholders any favors by being massively unprofitable after years of revenue growth. Palantir needs to employ the good old Jeff Bezos/Amazon method and profit bigly on speculative EV IPO’s.