Palantir Technologies Inc. Class A Common Stock (PLTR)

Return on equity (ROE)

		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
Net income (ttm)	US$ in thousands	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
Total stockholders’ equity	US$ in thousands	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
ROE		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%

September 30, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $476,572K ÷ $4,498,140K
= 10.59%

Palantir Technologies Inc. Class A Common Stock has shown varying levels of return on equity (ROE) over the last few quarters. The ROE has been improving gradually from negative figures in the first quarter of 2021 to a positive 10.59% in the most recent quarter ending in September 2024. This indicates that the company's profitability in relation to shareholders' equity has strengthened over time.

The positive trend in ROE suggests that Palantir Technologies Inc. has been effectively utilizing its equity to generate profits for its shareholders, signaling efficient management of assets and liabilities. The company's ability to increase its ROE from the negative territory to double-digit percentages reflects growth and improvement in its financial performance and overall health.

It is worth noting that the significant improvement in ROE from negative levels in previous quarters to positive figures in the most recent period indicates a turnaround in the company's financial performance. This positive trend in ROE could potentially attract investors and boost shareholder confidence in the company's future prospects.

Overall, the improving ROE trend of Palantir Technologies Inc. Class A Common Stock signifies a positive trajectory in the company's profitability and efficiency in utilizing shareholders' equity, which could be an encouraging sign for potential investors and stakeholders.