KEY POINTS
  • Palantir said in its updated prospectus on Wednesday that it has 1.64 billion shares outstanding, as of Sept. 1.
  • Based on the average private market transaction price in the latest quarter of $6.45 a share, the company is being valued by investors at just over $10.5 billion.
  • That's far below Palantir's valuation of $20.4 billion in a 2015 funding round.
Alexander Karp, CEO of Palantir Technologies Inc.

As Palantir gears up for its stock market debut, the company has a long way to go to convince potential shareholders that it's worth the $20 billion price tag that investors gave it almost five years ago.

Palantir held a virtual event for investors on Wednesday. The company, whose software helps government agencies and large corporations make sense of vast amounts of data, also released an updated prospectus, indicating that the number of shares outstanding increased in the third quarter, to 1.64 billion from 1.53 billion in the prior period.