$PLTR visualized: • How they make money • Sentiment • Geography • Business segments • Financials • Cash • Margins • Valuation • Short thesis Let's dive in!

1 - How $PLTR makes money $PLTR operates through four core platforms: • Gotham: government/intel • Foundry: commercial/business • Apollo: deployment infrastructure • AI platform: AI integration They sell embedded, tailored software solutions. Their “Forward Deployed Engineers” (FDEs) work closely with clients to build mission-critical systems. “We don’t sell software, we build solutions to the hardest problems that exist.” - CEO Alex Karp

2 - Sentiment Despite the 15% stock drop over the past week, $PLTR stock sentiment is still bullish according to @Stocktwits. Retail investors love it and institutions are hopping onto the train as well in recent quarters. Sentiment is volatile though. After smashing Q2 expectations and posting its first $1 billion quarter, sentiment reached a high. The Citron short report partially changed the narrative. Putting out a price target of $40 which is a fraction of current price. More on that at the end of this thread.

3 - Geography If we take a look at $PLTR most important markets, it is clear the the U.S. remains $PLTRs revenue engine: • U.S. commercial jumped 93% YoY; U.S. government rose 53% • Overall U.S. revenue grew about 68% YoY (to ~$733 million) International growth, by contrast, remains softer. Which bring opportunities for market expansion.

4 - Business segments $PLTR remains rooted in government contracts, but the gap is closing: In FY 2024, approximately 55% of revenue was Government, 45% Commercial. Commercial is catching up fast, thanks in part to $PLTR AI platform, which is powering growth at clients across sectors. “AIP has turbocharged our customer conversations. It’s the most important thing we’ve ever built.” - COO Shyam Sankar

5 - Financials Q2 2025 was a milestone quarter: • Revenue: $1.004 billion, up ~48% YoY • Full-year guidance raised to $4.142–$4.15 billion • Free cash flow at an all time high $304M To compare: 4 years ago $PLTR revenue was $341M with free cash flow $116M. Revenue is up +293% (74% CAGR) while FCF is up +287% (72% CAGR). In the meantime, $PLTR stock is up +502% (48% CAGR) over that same period.

6 - Cash $PLTR has a top notch balance sheet with $5.7 billion net cash and no debt. This gives them strategic flexibility around investments, hiring, and acquisitions. “The strength of our balance sheet allows us to play offense while others retreat.” - CFO Dave Glazer

7 - Margins $PLTR is delivering both growth and profitability: The company posted an operating margin of ~46% in Q2. They achieved a Rule of 40 score of 94 (sum of revenue growth + margin). Which is truly extraordinary for a software business. $PTLR is proving they can scale intelligently with strong cash flow and margins reinforce that.

8 - Valuation Valuation is probably the most polarizing topic when talking about $PLTR. So let's stick to the facts: • Looking at P/E is useless for a business like $PLTR which is in hyper growth mode. They are not optimized for earnings. So let's skip this one quickly • Looking at price/FCF is much more useful as $PLTR is in fact optimized for FCF generation. So let's use this valuation metric • With the latest drawdown, $PLTR is now trading at 165x price/FCF Thoughts: this is an eye-watering valuation and much higher then other software peers, by a mile. But so far, the execution of $PLTR is nothing short of spectacular as well. They are one of a kind in many ways. Bull argument: $PLTR valuation reflects their stellar execution and future potential. Bear argument: you can't keep this up for years and years in a row, making it massively overvalued. Now, I believe the truth is somewhere in the middle. $PLTR deserves a solid premium versus peer, simply due to their execution over the past 1-2 years and everything sharing in the thread earlier. If today's valuation is reasonable, depend on their execution moving forward. A small misstep could send the stock crashing. But if $PLTR keeps doing what it's done so far, today's price could be justified. Either way: I do believe there is little to no room for error at today's price and there is a lot priced in. You should be comfortable with that if you decide to buy at today's price. But how about shorting? Let's hop onto the next topic:

9 - Short thesis The short $PLTR narrative gained traction after the Citron Research short report, stating a $40 fair value. All arguments revolve around valuation, using OpenAI as a benchmark. Using OpenAI is just....very weird. OpenAI is competing with basically every LLM provider out there. Meta AI, Gemini, Claude, Grok etc. Switching costs are low, competition is extremely high, nearly no user lock-in, growth path is unclear and so forth. TL;DR, I think it's a very weak argument, but it's basically the foundation of the short report. I can't really take something like that seriously. I can appreciate short reports when it’s exposing incriminating practices like fraud etc. That's not the case with $PLTR. With a short, you're basically betting against one of the best executing business out there. It might work if $PLTR doesn't live up to the sky-high expectations, but that's a risk you should be willing to take. Luckily we're in an open market where we all have our preferences. I personally don't short stocks, but each their own!

10 - TL;DR summary $PLTR today is a scaled, highly profitable, AI-forward company. Execution will determine if today's valuation is justified. So far $PLTR proved to be worthy.