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Palantir Technologies (Palantir Technologies) Interest Coverage : 483.78 (As of Dec. 2023)


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What is Palantir Technologies Interest Coverage?

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Palantir Technologies's Operating Income for the three months ended in Dec. 2023 was $66 Mil. Palantir Technologies's Interest Expense for the three months ended in Dec. 2023 was $-0 Mil. Palantir Technologies's interest coverage for the quarter that ended in Dec. 2023 was 483.78. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Palantir Technologies's Interest Coverage or its related term are showing as below:

PLTR' s Interest Coverage Range Over the Past 10 Years
Min: 34.57   Med: 34.57   Max: 34.57
Current: 34.57


PLTR's Interest Coverage is ranked better than
52.19% of 1600 companies
in the Software industry
Industry Median: 29.505 vs PLTR: 34.57

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Palantir Technologies Interest Coverage Historical Data

The historical data trend for Palantir Technologies's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

Palantir Technologies Interest Coverage Chart

Palantir Technologies Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial - - - - 34.57

Palantir Technologies Quarterly Data
Dec18 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 3.23 7.65 53.89 483.78

Competitive Comparison of Palantir Technologies's Interest Coverage

For the Software - Infrastructure subindustry, Palantir Technologies's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Palantir Technologies's Interest Coverage Distribution in the Software Industry

For the Software industry and Technology sector, Palantir Technologies's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Palantir Technologies's Interest Coverage falls into.



Palantir Technologies Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Palantir Technologies's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, Palantir Technologies's Interest Expense was $-3 Mil. Its Operating Income was $120 Mil. And its Long-Term Debt & Capital Lease Obligation was $175 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*119.966/-3.47
=34.57

Palantir Technologies's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, Palantir Technologies's Interest Expense was $-0 Mil. Its Operating Income was $66 Mil. And its Long-Term Debt & Capital Lease Obligation was $175 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*65.794/-0.136
=483.78

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


Palantir Technologies  (NYSE:PLTR) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Palantir Technologies Interest Coverage Related Terms

Thank you for viewing the detailed overview of Palantir Technologies's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Palantir Technologies (Palantir Technologies) Business Description

Address
1200 17th Street, Floor 15, Denver, CO, USA, 80202
Palantir is an analytical software company that focuses on leveraging data to create efficiencies in its clients' organizations. The firm serves commercial and government clients via its Foundry and Gotham platforms, respectively. The Denver-based company was founded in 2003 and went public in 2020.
Executives
Alexandra W. Schiff director C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Alexander D. Moore director C/O PALANTIR TECHNOLOGIES, INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Stat Lauren Elaina Friedman director C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Heather A. Planishek officer: See Remarks C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Stephen Andrew Cohen director, officer: President and Secretary C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Ryan D. Taylor officer: See Remarks C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
David A. Glazer officer: CFO and Treasurer C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Shyam Sankar officer: Chief Operating Officer & EVP C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Alexander C. Karp director, officer: Chief Executive Officer C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Eric H. Woersching director C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Jeffrey Buckley officer: Chief Accounting Officer C/O PALANTIR TECHNOLOGIES INC., 1200 17TH STREET, FLOOR 15, DENVER CO 80202
Spencer M Rascoff director 212 26TH STREET, UNIT 317, SANTA MONICA CA 90402
Peter Thiel director, 10 percent owner 9200 SUNSET BOULEVARD, SUITE 1110, WEST HOLLYWOOD CA 90069
Matthew A. Long officer: General Counsel C/O PALANTIR TECHNOLOGIES INC., 1555 BLAKE STREET, SUITE 250, DENVER CO 80202
Sompo Holdings, Inc. 10 percent owner 26-1, NISHI-SHINJUKU 1-CHOME, SHINJUKU-KU, TOKYO M0 160-8338