Palantir’s Soaring Stocks: Is Bitcoin Jealous? 🤔💸

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Ah, the curious case of Palantir Technologies (PLTR), a North American enterprise that has recently captured the attention of the financial world. On the sixth day of February, the stock soared to an astonishing $109.60, a feat that would make even the most stoic investor raise an eyebrow. With a staggering 356% increase over the past year, it has left Bitcoin (BTC) trailing in its wake, which managed a mere 121% rise during the same period. One must wonder, is Bitcoin sulking in the corner, or is it simply biding its time?

As the stock market dances to the tune of Palantir’s success, investors are left pondering whether this tech marvel will continue to outshine Bitcoin. The question lingers: do the forces propelling Palantir’s shares skyward possess the fortitude to endure?

Founded in the year of our Lord 2003, Palantir has woven itself into the fabric of government agencies, particularly the esteemed US Department of Defense and the Central Intelligence Agency. Its commercial endeavors revolve around the optimization of supply chain logistics and the art of operational planning—how thrilling!

Two Co-Founders Who Love Bitcoin More Than Their Morning Coffee ☕

Among the illustrious co-founders is none other than Peter Thiel, a man whose ventures have spanned from PayPal to Facebook, and now, to the realm of Bitcoin advocacy. In a rather spirited CNBC interview, he proclaimed that the public has woefully underestimated Bitcoin’s potential as a digital store of value. One can only imagine the fervor with which he delivered this revelation!

Then there’s Joe Lonsdale, another co-founder, who recently suggested that cryptocurrencies like Bitcoin and Ether (ETH) might soon be the preferred currency of artificial intelligence agents. Yes, you heard that right—AI buying coffee with Bitcoin! Lonsdale also mused that “crypto could do very well” as a hedge against inflation. How quaint!

Palantir’s recent triumph can be attributed to the meteoric rise of its artificial intelligence platform, with fourth-quarter revenue climbing 36% compared to the previous year. The numbers released on February 3rd revealed a 45% operational margin, and their cash reserves swelled to a staggering $5.2 billion. Since January 29, Palantir shares have surged by 36%, culminating in a record-high market capitalization of $245 billion. Quite the spectacle, wouldn’t you agree?

For those investors with a keen eye on the AI sector, Palantir presents a tantalizing opportunity, trading at a discount compared to the likes of Microsoft and Google. However, one must chuckle at the fact that Palantir’s fourth-quarter EBITDA of $380 million is but a mere drop in the ocean compared to Google’s daily revenue. Ah, the irony!

Palantir’s Valuation: A Curious Relationship with Bitcoin 🤷‍♂️

While the connection between Bitcoin and Palantir may appear tenuous, it is difficult to ignore the fact that Palantir’s valuation stands at a staggering 162 times its EBITDA. Speculation, anyone? For context, Google trades at a modest 19.5x EBITDA multiple, while Microsoft hovers around 21.5x. One might argue that such a gap could be justified if the market anticipates Palantir’s technology to yield an 8x earnings increase in the coming years. But alas, it seems traders are merely succumbing to the siren call of FOMO.

Investors, with their notoriously short memories, may recall that Palantir shares plummeted from $26.80 to $7 in a mere six months back in early 2022. This 74% decline outstripped Bitcoin’s losses during the same period, yet many traders still regard the cryptocurrency market as the more perilous of the two. Recent data reveals Bitcoin’s 60-day volatility at 44%, while Palantir’s volatility stands at a dizzying 86%. Who knew investing could be such a rollercoaster ride?

Whether one believes Bitcoin should be valued as a scarce commodity or merely as a means of payment, Palantir’s valuation suggests that investors are

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2025-02-06 23:46