Return on Equity (ROE)
since 2020
Calculation
Palantir Technologies Inc., ROE, long-term trends, calculation
| ROE | = | 100 | × | Net income (loss) attributable to common stockholders1 | ÷ | Total Palantir’s stockholders’ equity1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2024 | 9.24% | = | 100 | × | 462,190) | ÷ | 5,003,275) |
| Dec 31, 2023 | 6.04% | = | 100 | × | 209,825) | ÷ | 3,475,561) |
| Dec 31, 2022 | -14.57% | = | 100 | × | (373,705) | ÷ | 2,565,326) |
| Dec 31, 2021 | -22.71% | = | 100 | × | (520,379) | ÷ | 2,291,030) |
| Dec 31, 2020 | -76.61% | = | 100 | × | (1,166,391) | ÷ | 1,522,550) |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 US$ in thousands
- Net Income (Loss) Attributable to Common Stockholders
- The net income shows a significant improvement over the analyzed periods. Initially, there was a substantial loss of approximately $1.17 billion in 2020, which progressively decreased to losses of about $520 million in 2021 and $374 million in 2022. By 2023, the company transitioned to profitability with a net income of approximately $210 million, and this positive trend continued into 2024 with further growth to around $462 million.
- Total Stockholders' Equity
- Stockholders' equity increased steadily across the years. Starting at roughly $1.52 billion in 2020, it nearly doubled to $2.29 billion in 2021, followed by continued growth reaching $2.57 billion in 2022. The upward trajectory accelerated thereafter, with equity rising to $3.48 billion in 2023 and further to $5.00 billion in 2024, indicating strengthening financial stability and capital base.
- Return on Equity (ROE)
- The ROE follows the trend of profitability improvement. It was deeply negative at -76.61% in 2020, lessening to -22.71% in 2021 and -14.57% in 2022, reflecting diminishing losses relative to equity. By 2023, ROE turned positive at 6.04%, and increased to 9.24% in 2024, demonstrating enhanced effectiveness in generating returns for shareholders.
Comparison to Competitors
Palantir Technologies Inc., ROE, long-term trends, comparison to competitors
| Palantir Technologies Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2024 | 9.24% | 25.68% | 39.42% | 144.96% | 22.58% | 3.88% | 6.77% | 22.06% | 16.07% | 32.83% | 120.26% | 49.86% | 6.93% | 14.83% | 25.17% | 17.09% |
| Dec 31, 2023 | 6.04% | 26.75% | 32.86% | 28.39% | 30.58% | -12.52% | 2.40% | 33.29% | 13.81% | 35.09% | 792.45% | 25.15% | 0.36% | 22.69% | 20.01% | -6.57% |
| Dec 31, 2022 | -14.57% | 31.11% | 33.85% | -10.13% | 30.93% | -22.89% | -3.56% | 7.47% | 12.57% | 43.68% | — | -127.14% | 2.48% | 6.46% | 17.85% | 0.65% |
| Dec 31, 2021 | -22.71% | 30.25% | 32.59% | 1.66% | 25.39% | -10.64% | -1.99% | 30.38% | 20.89% | 43.15% | 262.43% | -78.63% | 9.81% | 6.22% | 14.31% | -8.62% |
| Dec 31, 2020 | -76.61% | 30.05% | 39.66% | — | 23.69% | -19.10% | -2.56% | 27.14% | 35.76% | 37.43% | 83.94% | -24.23% | 0.37% | 4.18% | 13.54% | -19.33% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
Comparison to Sector (Software & Services)
Palantir Technologies Inc., ROE, long-term trends, comparison to sector (software & services)
| Palantir Technologies Inc. | Software & Services | |
|---|---|---|
| Dec 31, 2024 | 9.24% | 28.69% |
| Dec 31, 2023 | 6.04% | 28.33% |
| Dec 31, 2022 | -14.57% | 30.61% |
| Dec 31, 2021 | -22.71% | 35.77% |
| Dec 31, 2020 | -76.61% | 30.18% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
Comparison to Industry (Information Technology)
Palantir Technologies Inc., ROE, long-term trends, comparison to industry (information technology)
| Palantir Technologies Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2024 | 9.24% | 29.36% |
| Dec 31, 2023 | 6.04% | 31.85% |
| Dec 31, 2022 | -14.57% | 38.86% |
| Dec 31, 2021 | -22.71% | 42.21% |
| Dec 31, 2020 | -76.61% | 35.67% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).