Consulting giant Accenture reported earnings earlier this week and right at the top of the first page of the report was this gem:
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Over $600M in the last quarter of generative AI bookings.

What does this have to do with Palantir?  Palantir doesn’t have a traditional sales force (one of many reasons Wall Street seems to not like it) instead they use their engineers to do demos and consultants like Accenture to sell their AI software.

I forget the guy's name but there’s a Twitter account that figured out that Palantir’s corporate clients all end up with a new website to facilitate their partnership and it’s a simple format like xxxxxx/companyname.com. By entering in random company’s names he’s identified a huge influx of new domain registrations in the past few months.  

What does it mean?   Maybe nothing. Accenture didn’t specify which clients the $600M+ came from and I’m sure they contractually can’t say.  Definitely worth diving deeper into as this may hint towards blowout numbers when PLTR reports next in a little over a month.

They’re (PLTR) the ones that are going to actually monetize AI through corporate means versus make engines to make stupid images of cats wearing capes as pirates on mars.

Peter Thiel is a winner and knows how to make money.
I’m betting on it.

Either_Square is the Twitter user that scans for new Foundry / AIP domains.
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This post is over a month old.

I occasionally sell options on them.

I’m a big fan of CEO Alex Karp.  His unapologetic America first attitude and refusal to do business with anyone but our allies is refreshing.
Their CTO Shyam Sankar is also an interesting character, seeing him publicly call out analysts for BS claims is entertaining.


That’s how I first found the stock. Running the wheel strategy it wasn’t uncommon to make 1% per week.

Just curious, what is your time horizon range on a hold like this?


Looks like I might robust my position.

I've got 200 shares in my Bridge Account (Vanguard)
336 shares in wifes Roth (VG too)

No more cash in Roth so have to be in bridge account.

I can’t speak for @KILLERB6 but IMO there are 2 big things to keep an eye on in the next year or so. S&P inclusion and stock buybacks.  Both would be massive bullish catalysts.

1) S&P inclusion is inevitable.  They meet all the requirements, it’s just a matter of when.  It’s been speculated that Palantir’s lower than average institutional ownership may be a barrier that’s holding it up.  It would make sense that S&P will allow a few quarters to pass with their inclusion seeming obvious so institutional money can ease in instead of in a massive spike since so much money tracks the index. There’s also the matter of what percentage of earnings comes from investments versus sales which leads us to potential stock buybacks.

2) A $1B stock buyback has already been authorized but never fulfilled. Palantir has plenty of cash and little debt, as of recent excess cash has been being invested in government debt yielding better than 5%. For the time being management seems content to collect treasury interest instead of following through with the buyback. With the FED still claiming 3 rate cuts this year its would make sense that management is waiting until their interest income drops off to redeploy the cash to buy back shares.  The key will be if they can maintain positive EPS without the interest income.

Thanks. I'm increasing my position by 300 shares this morning. Depends on how the market opens too.

7 year play, looking for 20% YoY.

Edit:
Order in at $24.19, 9:35 am.


Edit2: executed.

Now are you gonna start selling connected calls on them?

I'll have to google that as I'm a simpleton and almost a Luddite too. But very short answer, no.

95% of my energy I put into our business then look peripherarily at investments. And then it's only 1 level deep especially as a buy and hold investor gunning to hit my Freedom Number in 7 years. So I don't have the time, energy or other to compete at options etc etc.

Next thing I am keeping an eye on is Figure 01.

Unless something else comes along on this forum!

@Sartorius
Do you have a particular options strategy you use or just sell them under certain conditions?

I was selling calls pretty aggressively on my shares but got caught with my pants down when it ran as hard as it did after Q4 earnings.  Didn’t want to buy the contracts back at a loss and assignment would mean short term capital gains so I’ve been rolling them up and out as they near expiration. A few times premiums have allowed me to sell one less contract than I bought for the same $ but I still have 12 contracts against my 1500 shares.

Still selling a couple puts at a time pretty aggressively but I’m not that worried if I get assigned because I wouldn’t mind adding to my position.

Usually just wheeling, selling at 15-20% OTM, 30-60dte.

PLTR down a buck on a downgrade by Monness, Crespi, Hardt.  Basically said they’re overvalued and put a $20 price target on it.

Fun fact: 20 years ago Apple had a significantly higher PE ratio and if you bought it then you’d have a 17,000%+ gain now.

Quit inspiring me to buy more. I'm already in for $20k!


I've got ~1,750 trading days until I sell.

I think Karp also said something about domestic terrorism and misinformation and I expect their tools are in the hands of the feebs.

That said, may be a good buy and I recommended it to my son who bought shares

I wonder if benz has anything on this.

1500 x $17.50 average here so I’m in for >$26k

Had sold a couple $24 puts that expire today but I rolled them out 3 weeks the other day when they had lost most of their value.

Used the dip to buy back some covered calls. Had planned on rolling them out but price dropped enough I figure I’ll just take them off the table until after Q1 earnings.

Just did a little deeper dive into that coverage of Palantir by Monness, Crespi, Hardt.  Can’t help but feel that their analyst Brian White is garbage.  

They initiated coverage on 4/11/22 with a buy rating after it fell from its post IPO highs.  It would end up trading sideways for around one year.

A few months later in July 2022 they downgraded it from buy to neutral saying it was overvalued.  (Stock was around $10 at the time) In reality in 20 months you’d end up having a 150% gain.

Today we get downgraded from neutral to sell with a price target of $20, once again saying PLTR is over valued.

In trying to figure out if this guy just sucks, doesn’t get the company or is up to something I stumbled across something else interesting. Brian White also covers Snowflake / SNOW which is Palantir’s main competitor in the corporate AI SaaS space. Less than 2 weeks ago he upgraded SNOW.

I find this a bit interesting as Palantir had just overtaken Snowflake in terms of market cap.  At one time Wall Street basically chose Snowflake over Palantir and this strikes me as a desperate effort to manufacture a win when the market decided differently.  If I get bored this weekend I’ll see what else I can dig up.

Palantir up over a buck in the premarket after a partnership with Oracle was announced.
News link

Thanks for posting. Reinforces they are going the corporate route for generating revenue and bringing value vs the public route.

Firms would much rather be doing business with a "small firm" such as PLTR versus hiring Google to come in with their AI.

Palantir has already proven they can poach contracts from bigger names. They did the with Raytheon for the Titan contract on the government side most recently.  In the private sector they got a contract with the Australian retailer Cole’s when Microsoft couldn’t deliver.
Article on Coles deal

The Oracle deal / partnership make a lot of sense the more I look into it. Apparently Oracle made an attempt to buy Palantir in 2016 when they were still private. They obviously see value and have recognized it for a while. Article

More recently CEO Alex Karp appeared on a panel at the Munich Security Conference and also on the panel was Safra Catz, CEO of Oracle. The language seemed very cooperative rather than adversarial which Karp can often be.  Instead Karp tore into an audience member who seemed to be trying to bait him into a discussion about election interference (starts around 27:30)

Great stuff.

It's interesting as "the market" has not bought into the concept and the company yet. It bumped and floated but gave back some of those gains.

The brokers probably aren't pushing it on their sheets and the insitutions aren't building major funds around it. YET.

Any status update for S&P500 inclusion? That will be a game changer obviously.

In order
Big money has always had a level of disdain for Palantir. When they went public it was via direct listing instead of a traditional IPO so so the big banks didn’t make their fees that they’re used to.  They also don’t have set pricing which seems to drive Wall Street mad. They like to charge based on the value they can add and will sometimes take equity instead of cash.  This has made it hard to value the company via traditional methods.

A relative who works for Edward Jones told me they’ve been recommending PLTR to their clients in small amounts.  Can’t speak for anyone else.

Next rebalance of the S&P should be the 3rd Friday of June.  The announcement of additions and removals should get released at the beginning of that month.

Stocktwits buzzing tonight because apparently Cramer said Palantir is a $28 stock and ARK has been adding the last few days.

Sold some PMs for a nice gain and used the funds as collateral for several cash secured puts on PLTR.  Plan is to aggressively sell puts right up to Q1 earnings and buy shares right before if not already assigned.

I've been holding Palantir for years. I bought them at 3.75USD - we knew them because of a venture company that introduced us.

I think - hope - they'll go way bigger than now.

That's a pretty well established pattern for all companies that sell/do SaaS.

Cathie Wood sold a bunch of PLTR years ago for like $9. I’m not going to complain about getting buying pressure at the expense of someone else learning an expensive lesson.

Made a little money on PLTR today, but that was selling 7DTE calls and then closing them a bit later.

I added to my position this week so I am sitting at 453 shares.

Very curious what the market open on Monday will bring. Palantir supports Israel and it’s no secret that their software is being used in the fight in Gaza. I’m curious how much of a role it might have played in their air defense of the Iranian attack.

Any Israeli involvement will probably overshadow the deal that was just inked with Hyundai to develop unmanned surface vessels for the Korean navy.
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Looks like it’s a 2 year deal to develop the technology with the option to extend to actually build them.

I was in Palo Alto several years ago at their headquarters location - before Palantir went public, because my family (through a venture I won't name here, on location there) introduced us to them and had us purchasing quotes at a minimal price that I mentioned above.

We still hold these stocks today, at a - clearly - huge profit margin. I'll continue to hold.
I remember the presentation that was given to us at the time - where I was assured it wouldn't infringe on any military secret - it was a number of satellites monitoring an amount of land with personnel and vehicles.

Mind you this was years ago and I am sure it has improved immensely - the technology was able to locate and differentiate between every item on the ground. Personnel and their function (studying movement and equipment on the individual), vehicle and structure.

While I am not sure at all there's any intervention of Palantir within the Dome technology (which I supported several times purchasing foolish items directly from Israel over the years - picture attracted) I'm sure 100% it's been used in the present conflict with Hamas and I hope it'll continue to be used.

As for what tomorrow the market will do - I am completely clueless but I've determined time ago that I'll be holding the stock for years to come.
My profit is already enormous and I don't believe price will ever go back down below 20. It's still all to go up from here.

Where and how much I really don't know - but I can dream.

My pro Israel stance

IWI X95 by Solo__, on Flickr

Palantir CTO Shyam Sankar wrote an article that posted a few days ago that I would recommend everyone with skin in the game read. Gives a lot of insight into how they operate and how (and why) it is so different than everyone else.

“In 2006, Alex Karp asked me if I knew why French restaurants were so good. I had no idea. He told me that at a French restaurant, the wait staff is actually part of the kitchen staff. They intimately understand the food, the methodology, and the technique. They are not merely carrying the food from the kitchen to the table, but are instead part of a subtle and complex system that affects kitchen operations. He wanted me to build that, but for engineering.
I did just that, and in 2007, I gave it the name “forward deployed engineering” (FDE) in homage to our customers. FDEs embed alongside our customers and work to ensure our software solves their problem and not some proxy for their problem. They’re crazy enough to get on a last-minute plane to Iraq, they’re smart enough to ship quality, same-day code, and their EQ is still high enough to talk to users (and maybe even enjoy it). Investors ridiculed us for creating a “services” role that would only serve to depress the margins of a software company. We didn’t look like the other SaaS businesses, something they eventually realized was a feature, not a bug. Just like French restaurants don’t blindly hand off food from an uninformed waiter to the diner, we didn’t believe in throwing our software over the wall in the hopes the customer would divine the correct meaning from it. This approach built an engineering organization with unmatched creativity, responsiveness, and focus on the primacy of winning.” -Shyam Sankar

Full Article

With earnings less than 2 weeks out it looks like some money is starting to flow into the stock in anticipation. Up almost a buck this morning as I type this and the only news I see is a couple of bullish articles about the partnership with Oracle.

Grabbed this screen shot off Stocktwits last night, this guys option bet on earnings must be printing money this morning.
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I like your analysis and postings. Please keep it up!