Palantir Technologies is an American big data analytics company that was founded in 2003 and went public on September 30 2020 at a price of $10 per share. According to market analysts, this share has the potential to increase dramatically by at least 30% from current levels. The tech startup, which many claim to be one of the most attractive and controversy IPOs in the market in recent years, has a market cap valuation of nearly $17bn and total revenues of $739m in 2019. With that said, Palantir is not yet profitable and there are crucial factors to consider before making an investment.
In this guide, we analyze Palantir’s share price performance and the company’s fundamentals. We’ll also show you the process of buying Palantir shares online in the UK, and suggest top UK stockbrokers.
- 1 Step 1: Find a UK Stock Broker That Offers Palantir Shares
- 2 Step 2: Research Palantir Shares
- 3 How Much Are Palantir Shares Worth? Palantir Share Price History
- 4 Palantir Shares Dividend Information
- 5 Should I Buy Palantir Shares?
- 6 Step 3: Open an Account and Deposit Funds
- 7 Step 4: Buy Palantir Shares
- 8 Palantir Shares: Buy or Sell?
- 9 The Verdict
- 10 eToro – Buy Palantir Shares With No Commission
- 11 FAQs
Palantir Technologies went public just recently, so it is very likely that you won’t find many UK brokerage firms that offer investors to trade its shares. It is listed on the New York stock exchange (NYSE) under the symbol PLTR, and as such, you will first need to open a share trading account with a trusted broker that offers US shares before you can make an investment in Palantir. With that in mind, it is also crucial that your chosen broker offer you low trading fees and a convenient-to-use trading platform.
Taking the above into consideration, below we suggest two trusted UK stock brokers that offer investors to buy Palantir shares.
1. eToro – Buy Palantir Shares with No-Commission
eToro is one of the first brokers in the UK to offer Palantir share trading on its platform. This popular brokerage firm supports thousands of products including more than 800 shares, including many of the best shares to buy, and an extensive list of ETFs. On this platform, investors can buy shares of Palantir directly from the NYSE exchange or in the form of Contract for Difference (CFDs), which makes it a great platform for both active traders and long-term investors.
Share trading on eToro is commission-free, meaning you do not have to pay any fixed fees when you get in and out of a position. Besides the buy and sell spread, a withdrawal fee of $5, and a 0.5% FX charge on your deposits, there no other trading or non-trading costs. Also, the broker does not maintain a high minimum deposit requirement, and as such, new clients in the UK must meet a minimum requirement of around £140 to get started.
eToro also stands out for offering a range of social trading tools. This broker offers a unique trading interface where investors can interact with each other and copy the trades of other top traders using the CopyTrade tool. This tool essentially enables you to automate your trading by copying the trades of successful investors.
Finally, eToro is heavily regulated and licensed by several agencies, including the Financial Conduct Authority in the UK. In addition, the broker ensures that all clients’ funds are protected by the FSCS scheme
- Zero commission policy for share trading and CFDs
- More than 800 global shares, including Sainsbury’s
- Allows you to buy shares outright or CFDs
- Fractional trading is available
- Social trading network, and copy trading tools
- Accepts different payment methods, including PayPal
- User-friendly web platform and mobile trading app
- Regulated by the FCA
- Limited technical analysis charting package for advanced traders
75% of retail investor accounts lose money when trading CFDs with this provider.
2. Plus – UK CFD Broker with Low Fees
If you are more interested in active day trading, you might find Plus500 a better option than eToro. This can be attributed to the fact that this broker has extremely competitive spreads and low fees. Besides share trading, Plus500 offers trading on more than 2000 CFDs in various markets including ETFs, FX currency pairs, commodities, indices, and cryptocurrencies. Moreover, it is one of the few brokers in the market that offers CFDs and options trading.
Plus500 is widely known as an easy-to-use trading platform as it covers a range of features that include price alerts service, a market news feed, a built-in charting package, risk management tools, and an economic calendar. The platform is available on any web browser as well on any mobile smartphone. On top of that, when you buy shares on Plus500, you can trade with more money than initially deposited. As the broker complies with FCA and ESMA regulatory rules and requirements, it enables investors to leverage their position with a ratio of 5:1.
If opting for Plus500, you only need to meet a minimum deposit of £100 to get started, however, you can also trade on a demo account to backtest the platform which requires no deposit at all.
- A commission-free trading account
- Tight spreads and low fees
- A leverage of 5:1 on shares
- User friendly trading platform, available on web browsers and mobile phones
- Plenty of features including risk management tool, price alerts and trader’s sentiment tool
- Regulated in the UK by the FCA
- Not a social trading platform
- Offers to trade on CFDs only
76.4% of retail investor accounts lose money when trading CFDs with this provider.
Whether you’re looking to invest in Palantir or other software companies like Microsoft, it’s always important to do your research.
Palantir began trading on the 30th of September under the ticker symbol PLTR following a widely covered initial public offering (IPO). The big data analytics company has a market cap valuation of nearly $17bn, and Palantir attracts a lot of interest from buyers and the media along with criticism due to its secretive nature. But Before you jump into investing in Palantir, it’s important to do your own research about the company’s fundamentals and the future forecast.
Palantir Technologies was founded in 2003 by Alex Karp, Peter Thiel, Nathan Gettings, Joe Lonsdale, Stephen Cohen. The American company has developed an analytics software that collects, analysis, and secures big data, mostly for government agencies including the FBI, CIA, NSA, and the US Air Force. As a result, Palantir is often described as one of the most secretive companies in the world.
Since its foundation in 2003, Palantir Technologies has grown into one of the most successful startups in the US with a $17 billion market valuation and stable income. During this period of time, Palantir’s growth was very impressive. In 2014, it was valued at $9 billion, and in the following year, it reached a peak of $20 billion in market valuation. Many analysts, therefore, have stated that this is one of the most promising private technology companies. At the same time, the company has attracted controversy along the way due to its partnership with the US government, and in particular, the company’s work with the Immigration and Customs Enforcement agency (ICE). Ultimately, the software technology company went public via a direct listing on September 30, 2020, which is an alternative way for private companies to go public, with the goal of removing the intervention of investment bankers. Palantir is, in fact, one of the few companies in the US market that have chosen to take this route.
Since the IPO, the Palantir share was trading in a narrow range of $9.03 – $10.95 and is currently trading at around $10.5 per share. At the time of writing, analysts are mixed in their review of Palantir’s share price, largely due to the lack of data and the ongoing controversy surrounding the company.
Palantir Share Fundamentals – Market Cap, P/E Ratio and EPS
Palantir went public in September 2020 and is listed on the New York Stock Exchange for slightly more than a month. It currently has a market capitalisation of nearly $17bn.
The company’s Price Per Earnings (PE) is unknown but it has an impressive Forward PE ratio of 89. In the first half-year report, Palantir has reported a loss of $0.36 per share (EPS) and is expected to announce a positive EPS of 0.02 in Q3 results ended September 30, 2020, that will be released on November 12.
As Palantir is still in its growth stage and recently went public, the company has never paid dividends and is not expected to do so in the near future. Moreover, even though the company’s fundamentals are improving at a rapid pace, it still has a long way to profitability.
Palantir is a tremendously effective tech company with 125 customers and nearly 2,400 employees. Its IPO was one of the most talked-about events in the market this year, though some say it wasn’t as successful as expected. Nonetheless, as the company continues its aggressive growth, it might be a good long term investment opportunity.
As such, let’s find out what you need to know about the company before you make an investment.
Revenues Are Expected to Grow Despite the Covid-19 Pandemic
Like many other tech companies, Palantir has never reported a profit. But the company’s future outlook is still looking bright.. In the first half-year report, it reported a loss of $164.7, a decrease of 41% from the net loss of $281m in 2019. Revenues grew by 49% to $481 million in the first half of 2020. The increase in revenues mostly came from increased demand for the company’s software due to the Covid-19 pandemic. Another reason for the spike in revenues can be attributed to Palantir’s Army division that posted $78.8 million in the first half of 2020, a huge increase from $53.7 million in all 2019.
Even before 2020, the company’s growth was very impressive. It has generated $742.6m in revenue in 2019, an increase of 25% from the previous year, though the net loss of $580 was the same as in 2018. Looking ahead, revenues are expected to exceed $1bn in 2020.
A Diversity of Clients
According to numerous sources, Palantir has a long list of clients categorized into corporates and governmental agencies. This includes BP, Ferrari, Airbus, West Point, the Air Force, the Marines, SOCOM, the CIA, ICE, FBI, NSA, DHS, and the CDC. In total, the company has 125 customers, with the US government being one of its biggest customers. In that aspect, it’s worth mentioning that Palantir has been accused by civil rights movements in its connection to the US Immigration and Customs Enforcement. The alleged accusation says that Palantir identifies and notifies the agency about places where illegal immigrants are working.
The Tiberius Project
Palantir might also be a solid Covid-19 investment as a report from the Wall Street Journal has suggested the company will help the US government track the Covid-19 vaccines. The tool developed by Palantir will essentially track the manufacture, distribution, and administration of Covid-19 vaccines across the United States. As such, the Tiberius project could be a huge incentive for potential investors.
Step 3: Open an Account and Deposit Funds
Now that you have made good research on Palantir shares, you can proceed to the buying process. But before you make an investment, you will first need to open an online investment account. Below we’ll show you how to open a share dealing account and buying shares of Palantir using eToro.
First, navigate to eToro’s website and complete the registration process by clicking on the Join Now button. Then, you will be required to fill in some personal information and verify your identity by uploading a copy of your passport or driver’s license along with a copy of a recent financial statement or utility bill.
Next, you need to deposit funds. eToro requires a minimum deposit of around £140 and accepts a variety of popular payment methods, including:
- Debit Card
- Credit Card
- UK Bank Transfer
On the next step, you can buy shares of Palantir. To do that, you’ll have to navigate to the broker’s trading dashboard and search for Palantir or PLTR in the search bar at the top of the screen. Then, click on the first result that pops up.
On the Palantir’s instrument page, click on the Buy button.
Next, you will see an order form to place your buying order. Simply enter the amount you want to invest in Palantir (eToro requires you to buy at least £40), and then navigate to your portfolio and set up stop loss and take profit orders (not mandatory).
Because of the secretive nature of Palantir, it somewhat difficult to analyze this company. Moreover, as the company just recently went public, it has a limited history of price historical data and it remains to be seen how investors will respond to the company’s IPO. But since Palantir is involved with government agencies, it is more than likely that the Palantir share will attract greater interest amongst the media, retail and institutional investors going forward.
In the fullness of time, investing in Palantir shares might be risky. Not only its technology and services are controversial, but political uncertainty could also be a huge factor to determine the company’s profitability (for good or for worse). With that in mind, you cannot argue with numbers. Palantir is growing at a rapid pace and is expected to reach a revenue of $1bn in 2020. As such, most analysts set a $13 price target for Palantir, which represents around a 30% increase from current levels.
In summary, Palantir is a strong company that recently went public and still trading at fairly cheap levels. It is sort of a defense company that sells data analytics software to private corporations and government agencies, and so far it has proven to have a business model that produces results and high growth. While there are risks involved with investing in Palantir, in our view it appears to be one of the best potential high growth stocks in the market right now.
If you ready to buy Palantir Technology shares, simply click the link below to get started!
75% of retail investor accounts lose money when trading CFDs with this provider.
Who is the chief executive of Palantir?
Alex Karp is the co-founder and CEO of Palantir since 2004. Karp is an American businessman with a net worth of $1.2bn.
What stock exchange is Palantir Technology listed on?
Palantir is listed on the New York Stock Exchange (NYSE) under the symbol PLTR.
Does Palantir pay dividends?
Like many other growth tech companies, Palantir does not yet pay dividends to shareholders.
How do I buy shares in Palantir?
Can I invest in Palantir via an ISA or SIPP?
Yes, you will be able to find UK share trading accounts that offer you to buy individual US shares like Palantir. However, only a limited number of UK stockbrokers allow you to buy Palantir shares via an ISA or SIPP account.