This is my last warning to all the delusional pltr investors.
Firstly, i invested pltr for 4yrs since 2021 my cost price was around $12. Idc about your pltr "community", i am an independent investor that thinks! Pltr is an amazing business with tremendous growth potential.
But like every investment it is not worth an infinite price. You WILL suffer during a bear market because valuation matters ESPECIALLY in bear market.
I am also a finance market risk analyst in ING bank. Rule number 1 in any finance class: Every investment is the present value of the sum of all its future cashflows. A good investment when overpaid is a BAD investment.
With that said, what is pltr intrinsic value?
- asumming its revenue grows at 36% YOY for next 4 yrs.
- EBIT raised and stabilised at 50%.
- Company terminal value is 2%. meaning it grows infinitely at the US GDP growth rate.
- Assuming no share dilution (which is impossible)
Therefore this valuation is on the optimistic side. We get intrinsic value today of $17-$20
Remember! we have not accounted for stock based compensation which will bring down the intrinsic value and also we didnt account for MARGIN OF SAFETY as we should.
Recommendation: for those who have shares of cost price ard $30 and below hold.
Those with cost price above take profit while you can and stop buying mindlessly.
Those that havent enter. No need to FOMO. Be patient and wait for opportunity. Dont listen to other ppl hyping up the stocks with absolutely no math behind their thesis. They are not an investor.đ
Comments