Palantir Technologies Inc. Class A Common Stock (PLTR)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | — | 119,966 | -356,969 | -484,854 | -1,164,890 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 5,003,280 | 3,475,560 | 2,565,330 | 2,291,030 | 1,522,550 |
| Return on total capital | 0.00% | 3.45% | -13.92% | -21.16% | -76.51% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $5,003,280K)
= 0.00%
Palantir Technologies Inc.'s return on total capital has shown a significant improvement over the years based on the provided data. Starting at a negative 76.51% on December 31, 2020, the company's return on total capital has gradually increased, reaching -21.16% on December 31, 2021, and further improving to -13.92% by December 31, 2022.
By December 31, 2023, Palantir Technologies achieved a positive return on total capital of 3.45%, indicating a turnaround in its capital efficiency. The company managed to maintain this positive trajectory with a 0.00% return on total capital as of December 31, 2024.
This improvement suggests that Palantir Technologies has been more effective in generating returns relative to the capital invested in its operations, signaling positive developments in its capital management and operational efficiency over the years.
Peer comparison
Dec 31, 2024