Overview
- New analysis from Forbes and others argues the stock trades at eye‑popping multiples, citing roughly 100x sales, about 200x trailing earnings and a PEG near 4.2.
- Skeptical pieces contend the company would need extraordinary expansion—such as revenue rising toward roughly $38 billion or more over time—to support today’s pricing.
- Supportive voices counter with strong fundamentals, pointing to Q3 revenue growth of about 63%, profitability and record contract momentum, with Wedbush framing the pullback as a buying opportunity.
- Jim Cramer reaffirmed his bullish stance, praising CEO Alex Karp’s execution and customer impact while acknowledging valuation remains the main concern.
- Broader AI signals continue to buoy the theme, with investor interest tied to rate‑cut hopes and news like Amazon’s plan to invest up to $50 billion in AI infrastructure for government clients.