Jim Cramer: 'I'm Mystified' About Palantir's Reference Price
The New York Stock Exchange set a “reference price” for the highly-anticipated Palantir direct listing at $7.25 late Tuesday.
The exchange noted in a statement that "The opening public price will be determined by buy and sell orders collected by the NYSE from broker-dealers. Based on such orders, the Designated Market Maker will determine an opening price in consultation with a financial advisor and pursuant to applicable NYSE rules."
Palantir is a data-analytics software provider to government agencies. It's backed by Silicon Valley VC Peter Thiel, among others.
In a statement last week, Palantir said its share price averaged $9.17 volume-weighted in private sales on Sept. 1. That indicates a valuation of about $19 billion for the company ahead of its listing, Barron’s reported.
For the third quarter, it forecast revenue of $278 million to $280 million, representing year-over-year growth of 46% to 47%.
It predicted non-GAAP operating income of $60 million to $62 million, excluding stock-based compensation, related payroll tax expenses and approximately $54 million of one-time expenses related to the direct listing.
The company also sees non-GAAP operating income of $6 million to $8 million, excluding stock-based compensation and related payroll tax expenses but including the one-time direct listing expenses.
For all of 2020, Palantir estimated revenue at $1.05 billion to $1.06 billion, representing year-over-year growth of 41% to 43%.
Palantir put non-GAAP operating income at $116 million to $126 million, excluding stock-based compensation, related payroll tax expenses, and the approximately $54 million of one-time expenses related to the listing.
Palantir opened for trading at around $10 a share on Wednesday.