 Hey everyone, welcome to another video talking about Palantir. Palantir had a monster earnings report yesterday after hours It is up today 23% more than 23% That's more than their expected growth rate per year, but that's how much it's up today So I have my worksheet and That's where I get the headline Can this thing be sixty six dollars? For a seven hundred percent gain only catch is it's gonna be over ten years because That's that's what's gonna happen if the company keeps growing as analysts expect Here is seeking alpha you punch in your symbol and I have Four years of earnings as you can see these are the estimates From 21 cents expected this year 25 cents the following year than 32 Eventually 50 cents in 27 we can estimate an approximate growth rate and with every quarter They're gonna change so don't this is not set in stone. We punch it in to our worksheet and I Have 22% make that a little easier. We have the earnings punched in We do a little bit of assuming which is always dangerous and then we discount Back at 10% present value of all the earnings 30 bucks Currently at $9 so there is opportunity in the stock, but because we can grow the earnings out we can estimate Different valuations Ten years from now and I have 20 33 and I have a high valuation and a couple low valuations And just to get you excited. I'm gonna use the high valuation which is price to earnings Times the growth rate twice Peter Lynch style that says it could be worth about 66 and 90 cents or on the low side. It might be 33 Dollars a share or as low as $22 if it uses a historical Average of PE 15, which is quite low for a growth company, especially because it's growing at 22% This year because it's supposed to earn Between 20 and 25 cents it should be worth as low as three to three 375 and as high as 8 and 11. So yes Palantir is on the high side for those valuations Very possible that It trades lower over the next year. So it's it's exciting to see a stock up 23% but The business behind the stock. This is how we would financially calculate what it would be worth over time So keep that into consideration. That's how I get this crazy headline $66 in 10 years 700% in a decade. That's actually how you value any stream of cash flows any business This is how you do it. So any stock that generates Earnings and has sales you can do this worksheet so Let me just show you the chart crazy That this stock was $45 Two years ago. So if I'm saying hey, this this stock will be worth 40 50 60 dollars in a decade What was it doing at? $40 two years ago. Well, there were higher expectations and it was a different market, but here we are Can't go backwards. We can only go forward Stock is $9 watch out for the gap It can trade down and then up it can go even lower make new lows, but the business will keep chugging along That's why I like having these worksheets. I need to have a map. I need to have a plan once I have my Price valuations I can use them as technicals. So if it does get nasty, I'm not going to be worried because there is potential over a Decade. Hope you found this useful. Let me know if there's a stock you want to look and I will put a Template worksheet down below. It's free if you want to try your own stock Go ahead and if you have questions go ahead and make them as a comment. Cheers