PLTR PEG Ratio Analysis
Higher than 35% of Technology sector peers
Updated 285h ago·SEC filings & market data
Key Takeaway
The PEG ratio compares a stock's price-to-earnings (P/E) multiple to its earnings growth rate; a value below 1.0x often indicates the stock is undervalued relative to its growth.
Sector Performance
35th percentilePLTR
0.45x
Sector Median
0.63x
Sector Avg
2.25x
Prior Period
0.38x(Jun 2026)
Deep Analysis
The PEG ratio compares a stock's price-to-earnings (P/E) multiple to its earnings growth rate; a value below 1.0x often indicates the stock is undervalued relative to its growth.
At 0.45x, Palantir's PEG is below the technology sector median of 0.59x, placing it in the 39th percentile among sector peers. The metric has been decreasing over the last eight quarters; year-over-year it fell 13.5%, though it rose 18.4% quarter-over-quarter. A low PEG suggests relative undervaluation, but the downward long-term trend may signal waning growth expectations or increasing uncertainty. The combination of a low level and a decreasing trend presents a mixed risk profile: potential value if growth stabilizes, or further compression if growth disappoints. This metric supports the overall NEUTRAL verdict because the positive signal from a low PEG is offset by the negative signal from the declining trend.
Frequently Asked Questions
What does the PEG Ratio tell investors about PLTR?
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
How is the PEG Ratio calculated?
PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.
How does PLTR's PEG Ratio compare to its sector?
PLTR's PEG Ratio of 0.45x compares to a Technology sector median of 0.63x, placing it in the 35th percentile.
Who are PLTR's closest peers by PEG Ratio?
The closest Technology peers by PEG Ratio include: GLOB (0.63x), MRVL (0.59x), QRVO (0.58x), AVGO (0.71x), ADI (0.49x).
Learn More About PEG Ratio
The Formula
P/E Ratio / EPS Growth Rate
Why It Matters
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
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0.45x
Sector Median
0.63x
Sector Avg
2.25x
How PLTR's PEG Ratio compares to sector peers.
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