u/RedBabuino

Palantir at ~$500B: can someone show me where my valuation math is wrong?

At ~$500B market cap with 81x trailing sales and 89x forward earnings, Palantir appears richly valued. A 5-year DCF model assuming 30-40% revenue CAGR and 30-35x FCF exit multiples yields only flat to low single-digit returns, requiring 50%+ sustained growth for meaningful upside. The author questions whether margins, growth runway, or exit multiples can justify the current valuation without unrealistic assumptions.