We recently published a list of Top 11 Trending AI News And Wall Street Ratings. In this article, we are going to take a look at where Palantir Technolgies Inc. (NASDAQ:PLTR) stands against other top trending AI stocks.
The S&P 500 neared record highs on February 14th despite a busy week of US tariff hikes, inflation updates, a slump in retail data, and mixed reports from company earnings reports. Meanwhile, some magnificent seven stocks inched higher today due to optimism around growing AI-chip demand.
Furthermore, the global AI race is heating up as DeepSeek AI is empowering Chinese chipmakers to lower reliance on US technology as export limits remain in place.
In turn, the US is swiftly building partnerships with Asian countries founded on AI. The US and India announced on February 13th that they would work to create a roadmap by year-end to accelerate the development of AI infrastructure by boosting investments in new-age data centers and offering US-origin AI infrastructure to expand computing power access in the sub-continent.
“The US and India will work together to enable industry partnerships and investments in next generation data centres, cooperation on development and access to compute and processors for AI, for innovations in AI models and building AI applications for solving societal challenges while addressing the protections and controls necessary to protect these technologies and reduce regulatory barriers,” the countries stated in a joint statement.
We selected AI stocks by reviewing news articles, stock analysis, and press releases. We listed the stocks in ascending order of their hedge fund sentiment taken from Insider Monkey’s database of 900 hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A software engineer intently typing code into a laptop with multiple screens in an office.
Palantir Technologies Inc. (NASDAQ:PLTR)
Number of Hedge Fund Holders: 43
Palantir Technolgies Inc. (NASDAQ:PLTR) is a leading AI software system provider enabling machine-assisted and human-driven data analysis. Its data fusion interfaces, like the Palantir Artificial Intelligence Platform (AIP) and Palantir Foundry improve big data analytics for diverse industries and government agencies.
On February 4th, Morgan Stanley analysts led by Sanjit Singh increased Palantir Technolgies Inc.’s (NASDAQ:PLTR) target price to $95 from $60 and upgraded the stock to “Equal-weight” from “Underweight.” The brokerage highlighted the AI company’s accelerated growth for six consecutive quarters, which was driven by a steady increase in US commercial contracts and US government contracts. Analysts noted that the company expects Q1 2025 revenue growth north of 30%, much higher than the consensus outlook of mid-20% growth. Despite ultra-premium valuation, Singh explained that their upgrade was based on improving fundamentals and a robust 2025 outlook that could prevent any downside catalysts from materializing.
Overall, PLTR ranks 5th on our list of top trending AI news and Wall Street ratings. While we acknowledge the potential of PLTR as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PLTR but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. This article is originally published at Insider Monkey.
