Using the PEG framework with analyst consensus forward EPS growth of 25.0%, Palantir Technologies Inc. has a fair value of $32.26 based on NTM EPS (FY2026) of $1.29. The current PEG ratio is 1.72.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
Growth above 25% is capped — hypergrowth may not be sustainable long-term.
| EPS Growth RateForward | 70.0% |
| Adjusted Growth (clamped 8–25%)Clamped | 25.0% |
| Fair P/E | 25.0x |
| NTM EPS (FY2026) | $1.29 |
| Fair Value | $32.26 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $0.63 | — | — |
| FY2026E | $1.29 | +104.8% | 21 |
| FY2027E | $1.85 | +43.4% | 21 |
| FY2028E | $2.67 | +44.4% | 12 |
| FY2029E | $5.89 | +120.5% | 11 |
| FY2030E | $8.94 | +51.8% | 6 |
5Y Forward EPS CAGR: 70.0%
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.
| Year | Net Income | EPS | YoY |
|---|
| FY2021 | $-520.4M | $-0.27 | — |
| FY2022 | $-373.7M | $-0.18 | — |
| FY2023 | $209.8M | $0.09 | — |
| FY2024 | $462.2M | $0.19 | +108.1% |
| FY2025 | $1.6B | $0.63 | +231.6% |
4Y Historical EPS CAGR: 169.8%