In this paper, thermal stability of palladium germanide (Pd germanide) is analyzed for high performance Schottky barrier germanium metal oxide semiconductor field effect transistors (SB Ge-MOSFETs). Pd germanide Schottky barrier diodes were fabricated on n-type Ge-on-Si substrates and the formed Pd germanide shows thermal immunity up to $450^{circ}C$. The barrier height of Pd germanide is also characterized using two methods. It is shown that Pd germanide contact has electron Schottky barrier height of 0.569~0.631 eV and work function of 4.699~4.761 eV, respectively. Pd germanide is promising for the nanoscale Schottky barrier Ge channel MOSFETs.