10 High-Valuation Stocks to Buy According to Billionaires

8. Palantir Technologies Inc. (NASDAQ:PLTR)

Forward P/E: 169.5

Number of Billionaire Investors: 16

Number of Hedge Fund Holders: 64

Palantir Technologies Inc. (NASDAQ:PLTR) is a software company that builds and deploys data integration and analytics platforms for both government and commercial clients. The company’s flagship products including Palantir Gotham and Palantir Foundry, enable users to analyze large datasets for actionable insights. Its solutions are widely used in defense, healthcare, and financial services, among other sectors.

Palantir Technologies Inc. (NASDAQ:PLTR) has seen rapid growth in its Artificial Intelligence Platform (AIP), driving higher revenue and profitability. Investor confidence was further boosted by real-world applications showcased at its AIPCon 6 event and new partnerships with Databricks, Saronic Technologies, Archer, and Saildrone, expanding its enterprise solutions.

However, the stock has recently faced pressure as the U.S. Department of Defense (DOD) implements budget cuts across multiple programs, contracts, and grants, including a recently announced $580 million reduction. On the brighter side, on March 13, Loop Capital analyst Mark Schappel reaffirmed his Buy rating on Palantir Technologies Inc. (NASDAQ:PLTR) after meeting with management, which increased his conviction in company’s leadership in enterprise AI. He noted accelerating AI adoption but also highlighted risks from potential federal spending cuts and high valuation. While maintaining a positive outlook, he lowered the price target from $141 to $125 due to industry-wide valuation compression.