Speaker 1: Today we're diving into a story that could potentially turn Palantir's stock into a $100 plus powerhouse. Yeah, you heard that right. $100 per share. Now, I know that sounds as bold as Winston's attempt to catch a squirrel that he never actually gets there. I think Palantir might just. We have, of course, chatted about Palantir's AI powers before, but today we're going to zoom in on something truly revolutionary. How Palantir is transforming healthcare, a trillion-dollar industry, with Mount Sinai Health System as our prime example here. And let me tell you, this could be the key to unlocking Palantir's true potential. You might be thinking, Felix, have you gone mad? Palantir's PE ratio is already at a sky-high 200. Well, that's exactly why this healthcare revolution is so exciting. Palantir can capture even a tiny fraction of this massive healthcare market. That lofty PE ratio could start looking as reasonable as... I don't know what. Picture this. You have a bustling New York hospital. Doctors rushing about, patients waiting anxiously, people fighting with swords and hacking off limbs in the lobby. That's me watching too much Monty Python. But now imagine if you could wave a magic wand and suddenly everything runs like clockwork. Well, that's exactly what Palantir's AI is doing, minus the wand and the hacking off limbs joke. Very, very clever algorithms at work and insanely good gross margins that come with that. So how does AI really fit into a hospital? Well, we're going to unpack that here. We'll explore how Palantir is tackling everything from bed management to insurance claims and even enabling hospital care at home. This isn't just about making hospitals run smoother. It's about potentially saving lives, reducing costs and revolutionizing a trillion-dollar industry. Well, let's look at the numbers and roll up our sleeves and dive into the AI healthcare world. By the end of this video, that's my promise, you'll be looking at hospitals and Palantir in a whole new light. Much like when I first met investment bankers who were making 100% returns a year on their investments. I didn't believe it. I couldn't believe it. I was brought up with, you can only make 8% a year, that's about it. And now we're up 93% this year alone. And you might not believe that. You might think that's dubious and you might have your doubts about it, and that's completely fine. But what I'd say to you is, come and learn for free with us how I do it. I'm not promising you the outcome, but I promise to be transparent with you. Join me at phoenixfriends.org slash challenge and I'll break it down for you. Completely free of charge. But let's go back to our healthcare challenge here. Imagine trying to juggle a dozen eggs while riding a unicycle. Well, that's basically healthcare management. You see, healthcare systems are facing the perfect storm. We've got an aging population, it's living longer, but often with lots of chronic conditions. We've got the rising costs of medical technology and pharmaceuticals, and you've got significant financial pressures. But there is more. Large health systems like Mount Sinai aren't just dealing with one hospital, they're managing entire networks. Mount Sinai, for instance, has eight hospitals spread across New York City. It's like trying to conduct an orchestra where each musician is in a different building. And these giants face unique challenges. Coordinating patient care across multiple buildings, managing bed capacity and patient flow, and ensuring consistent quality while dealing with insane amounts of data from all sorts of sources. Do you know how much data the average hospital generates? 50 petabytes per year. That's 50 million gigabytes, and it's more than twice the amount of data housed in the Library of Congress. But most of this data is unstructured. It's siloed. It sits here and there and everywhere. It's like having a library where all the books are written in different languages, stored in separate locked rooms with no key. Not particularly useful. That's why the need for data-driven solution is massive. And in today's healthcare landscape, making decisions based on gut feeling or bare information is not very effective. So modern healthcare needs a solution that can integrate the data from all these different sources and buildings and whatnot, provide real-time insights, predict the trends and actual issues, and then automate all the routine tasks so people can get on with their lives. In essence, we need a system that can turn this data morass into actionable intelligence. It's about making sense of the chaos, finding patterns, and ultimately improving patient care while reducing costs. And that is where Palantir's AI platform enters the scene. Before we dive into what Palantir does exactly here, let's have a look at Mount Sinai itself. Because to appreciate the solution, we need to understand the problem in all its complexity. Mount Sinai isn't just a hospital. It's a colossal network that would make anyone's head spin. Talking about eight hospitals across three boroughs of the Big Apple. But their reach extends far beyond these hospitals. They've got over 200 outpatient locations sprinkled across five boroughs, New Jersey, Westchester, and Long Island. Now let's talk some numbers, because as an old banker, I love my statistics. Mount Sinai has 3,800 beds. They handle 147,000 inpatient admissions annually. They manage more than 475,000 emergency department visits per year. Oh, and let's not forget their adult trauma center in affiliation with the Icahn School of Medicine. They basically have the whole medical world under one very, very large, complex roof. Managing all of this, well, it's not exactly easy. So let's talk about how Palantir's AI platform, the secret source that's turning Mount Sinai's healthcare operations from a complex jigsaw into a well-oiled machine. At its core, Palantir's platform is a master of data integration. It's like having a universal translator for healthcare data. Whether it's patient records, lab results, imaging studies, or even financial data, Palantir's AI can understand it all and more importantly, make sense of it. But here's where it gets really clever. Palantir doesn't just collect the data. It connects the dots in ways that humans simply can't. It's like having a detective who can spot patterns across millions of cases in just seconds. So how does it actually handle all this data? Remember those 50 petabytes of data we mentioned earlier? Palantir's AI gobbles up all of that data about as quickly as Winston has his dinner. But instead of storing it, it constantly analyzes it, learns from it and generates insights. And the most fascinating concept here is the digital twin for healthcare operations. Sounds odd and confusing. Well, it's very much a reality with Palantir. Imagine creating a virtual replica of the entire Mount Sinai healthcare system. Every hospital, every department, every process. This digital twin is constantly updated with the real-time data and it allows administrators to see the entire operation at one glance. Now, this digital twin can also simulate different scenarios, predict outcomes, and even suggest optimizations. So it's basically the crystal ball that you've always wanted to have. For example, the digital twin can predict patient influx, optimize staff schedules, manage inventory, and help with complex clinical decisions. It's as if the entire hospital system has now got a sixth sense. And the beauty of the system is that it learns and improves over time. The more data it processes, the smarter it gets. In essence, Palantir's AI platform is turning Mount Sinai's sea of data into a fountain of knowledge. As in all our research, the most intriguing bit I came across is called the clinical command center in the hospital. Imagine, if you will, a NASA-style mission control. But instead of launching rockets, they're orchestrating patient care across eight hospitals. Mount Sinai implemented this command center back in 2017. The concept is simple. Centralize bed management across all eight hospitals in one location. Now, here's where Palantir's AI really flexes its muscles. It's not just about knowing which beds are empty. It's about predicting which beds will become available and which patients will need them. It's like having a crystal ball again, but you get very, very precise predictions backed by data. So the AI crunches a mind-boggling amount of data, everything from admission rates to length of stay, to surgical schedules, to discharge plans, and it's processing all of that live in real time. And it then just doesn't give you information. It actually makes recommendations. So it's like having the world's smartest traffic controller, but for patients. Need to transfer a critical patient? Well, the AI will tell you not just which hospital has a bed, but which one has the right specialists available and the shortest transfer time. The impact on patient flow and resource allocation has been nothing short of revolutionary. Let me paint you a picture with some numbers here. 2.3 million annual ROI from bed capacity created. 354 beds for new admissions annually created in addition. A 400% plus increase in admissions per month to hospital at home, which means you leave the bed, you free up capacity, and you lower costs. So these are not just numbers, but real people getting faster, better care. It's the difference between a patient spending an extra night in the hospital or going home to their family. But it doesn't just stop there. The AI gets better and better. At the same time, they've managed to improve their staffing levels. Their equipment needs are exactly where they need to be. They know how much inventory they have and what they need. So the whole system has gained this sixth sense, anticipating needs before they arrive. Let's just dive into this hospital at home initiative again, because this is something they launched about nine years ago. And it basically provides hospital level care to eligible patients in the comfort of their own homes. So you're basically bringing the mountain to Mohammed. Is that an appropriate analogy here? Maybe not. So the initiative isn't just about sending a nurse around for a cup of tea. We're talking about full-fledged acute care, palliative care, rehab and remote monitoring. So they've basically shrunk an entire hospital ward and tucked it into a doctor's bag. So how do they decide who's eligible for this? Well, that's what Palantir's AI comes in. The AI assesses patients eligibility in real time, integrating various data points from all the medical information that they have. They crunch blood results, diagnosis, radiology tests, and they give you a comprehensive patient evaluation. And that isn't just data analysis. That's basically like having some sort of digital doctor make the best decision for each patient. And patients are loving it. They are more happy when they receive care at their home because you feel more comfortable at home, right? And it has led to a significant reduction in hospital readmissions and emergency room visits within 30 days post-discharge because you're no longer discharging the people you shouldn't be discharging. And it's been impressively cost-effective. It's reducing healthcare costs while maintaining high-quality care. So where is the money in all of this? Because as investors, you know, we're cold-hearted people and we're looking for the money. Well, let's look at insurance claims. Insurance claim denials are a huge problem that are giving healthcares, CFOs, more headaches than really anything. When insurance companies deny claims, it isn't just paperwork, but it's a major hit to the hospital's cash flow and revenue. They're not getting paid for something they've already performed. And before Palantir came along, Mount Sinai's denial management process was about as efficient as trying to bail out the Titanic with a teacup. They had a team of eight denial writers, each spending 45 to 60 minutes crafting a single denial letter. It was slower than anything, really. And Palantir's AI then swoops in. The digital superhero. And what have they done? Well, one, they've automated denial letter generation. So Palantir's AI doesn't just write them. It crafts masterpieces with all the information. And the processing time has gone from 45 minutes per letter to, well, eight minutes. So it's like going from horse and cart to, you know, a Tesla. And there is a very significant increase in the denial overturn rate. So twisting the insurer's arms and saying you was wrong, admit it. And here the AI isn't just faster. It is smarter. The increase in the denial overturn rate is 3%. That might not sound like much, but in the world of healthcare, trillion-dollar industry, it's kind of like striking oil. And all of these improvements added together are expected to bring in about 13 million in revenue. That's not pocket change. That's, you know, going buy a small island type money. And that's, of course, every year. So in essence, just that denial management system has turned using Palantir software from an expense into a profit maker. And then, of course, you've got the profits from all the other impacts that we've also discussed here. So let's zoom out a little bit here and look back to the stock price. The global healthcare IT market is projected to reach $564 billion by 2029. If Palantir could capture even 1% of this market, and given what we've seen today, that's not unreasonable. We're talking about potential annual revenues of $5.6 billion from healthcare alone. Now let's do some back-of-the-napkin maths here. If Palantir maintains its current revenue growth rate and successfully expands in the healthcare sector, we could see its revenues triple or quadruple in the next few years. Assuming the market starts valuing Palantir more in line with other established tech companies, let's say with a PE of 50, if earnings grows proportionally with revenue, suddenly that $100 price target doesn't look so far-fetched. And here we're talking about the price target only based on the healthcare sector. With all the other industries captured, Palantir could perhaps soar much, much higher and faster. Of course, this is speculative. The stock market is about as predictable. Well, actually, I think it is fairly predictable, but people would disagree with me on that. I must say that it isn't, in that that's highly risky and all of that. And there's, of course, truth in that. But we're looking here not just at a company selling software. We're looking at a company that's completely shifting how healthcare and other industries are run. And if Palantir can continue to position itself at the forefront of this revolution, in my humble opinion, sky is the limit. Of course, go away and do your own bloody research and don't rely on this as some sort of buy signal. That would not be smart because you're listening to a golden retriever's research. And I'm very excited about what's coming up for Palantir. I think after this significant run, just unless they get some major contracts out, we might see a little bit of a pullback. I wouldn't be surprised by that. But in the long run, I'm feeling very optimistic on this particular stock. And if you enjoyed our little deep dive here, then come and join me on Tuesday and Wednesday, FelixFenster.org challenge and learn how we're up 93% so far this year trading and perhaps share the video. Now, thank you for watching. The Fed's recent 50 basis point cut isn't just another headline. It's actually a game changer. One we've been waiting for for ages in the growth stock world. And today I'm going to reveal my eight top picks that are primed to absolutely crush it in this new lower rate cut environment.