Palantir Technologies Inc. Class A Common Stock (PLTR)

Return on equity (ROE)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	462,190	476,572	404,552	298,553	209,825	147,312	-48,068	-255,524	-373,705	-560,771	-539,033	-498,284	-520,379	-512,534	-1,263,716	-1,235,591	-1,166,391	-1,177,375	-463,916	-487,527
Total stockholders’ equity	US$ in thousands	5,003,280	4,498,140	4,050,520	3,775,230	3,475,560	3,190,020	2,955,470	2,723,730	2,565,330	2,386,620	2,348,820	2,364,750	2,291,030	2,248,060	2,068,960	1,805,940	1,522,550	1,251,750	761,993	146,589
ROE		9.24%	10.59%	9.99%	7.91%	6.04%	4.62%	-1.63%	-9.38%	-14.57%	-23.50%	-22.95%	-21.07%	-22.71%	-22.80%	-61.08%	-68.42%	-76.61%	-94.06%	-60.88%	-332.58%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $462,190K ÷ $5,003,280K
= 9.24%

Palantir Technologies Inc.'s return on equity (ROE) has shown a significant improvement over the past few years. The ROE was negative in the early part of the analysis period, with figures ranging from -332.58% to -22.80%. However, starting from March 31, 2023, the company's ROE turned positive, indicating a favorable trend.

The ROE continued to strengthen in the subsequent quarters, reaching 9.24% by December 31, 2024. This positive trend is a promising sign for investors as it indicates that the company's ability to generate profit from shareholders' equity has improved significantly.

Overall, the increasing trend in Palantir Technologies Inc.'s ROE suggests that the company is utilizing its shareholders' equity more efficiently to generate profits, which may reflect positively on its financial performance and investor confidence in the future.