10 Best Performing AI Stocks in 2025

2. Palantir Technologies Inc. (NASDAQ:PLTR)

Year-to-Date (YTD) Performance: 57.56%

Number of Hedge Fund Holders: 43

Palantir Technologies Inc. (NASDAQ:PLTR) is a leading provider of artificial intelligence systems. This AI star recently reported its Q4 earnings, posting a revenue of $828 million—beating expectations of $776 million and marking a 36% year-over-year increase. In particular, its AI platform has gained traction, with the company providing software and technology services largely for defense agencies. On February 11, Bank of America reiterated the stock as “Buy” with a $125 price target. The firm stated that Palantir is well positioned for “DOGE priorities”. Department of Government Efficiency, or DOGE, is a government organization that strives to modernize federal technology and software to improve government efficiency.

“For PLTR , we see the focus on operationalizing data, establishing high-fidelity digital enterprise-twins, and accelerating decision making as a winning formula. AI and data analytics are critical to unlock timely and better informed decision making – from cutting duplicative contracts, to improved logistics, to autonomous systems, to command, control and communications on the battlefield”.