Author compares Palantir and PayPal, arguing PayPal's low valuation and buyback capacity make it attractive versus Palantir's growth-dependent valuation.
PYPL — LONG The author argues PayPal is undervalued because its $36B market cap against $14B cash and $22B projected four-year earnings means it could buy back the entire company in four years. He models 3% annual net income growth with a 20% decline cushion, framing the stock as protected even if it stays irrational. The main risk acknowledged is that PayPal barely grows.
PYPL market cap = $36B - PayPal can buyback the company in 4 years.
PLTR — AVOID The author implies Palantir is expensive, noting that even if it grows 56% annually for four years it would still trade at 20X earnings. This frames the current valuation as pricing in extreme growth, making it a less attractive risk/reward than PayPal. The stated risk is that such growth may not materialize.
If Palantir grows 56% a year for next 4 years, it will trade for 20X earnings.
This Reddit post, published February 16, 2026, features u/Pristine_Arm8260 discussing PYPL, PLTR. 2 trade ideas extracted by AI with direction and confidence scoring.
Speakers: u/Pristine_Arm8260 · Tickers: PYPL, PLTR