Renaissance Technologies Portfolio: Top 10 Stock Picks

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1. Palantir Technologies Inc. (NASDAQ:PLTR)

Stake Value as of Q4 2024: $1,723,595,850

Palantir Technologies Inc. (NASDAQ:PLTR) is a technology company that specializes in software platforms for data analytics. These platforms are used by government agencies, financial institutions, and several large corporations.

On February 3, the company announced financial results for the fourth quarter of fiscal 2024. Total revenue for the quarter was $828 million, an increase of 36% from last year. U.S. revenue was posted at $558 million, growing 52% year-over-year. About 61%, or $343 million, of the U.S. revenue was contributed by the U.S. government, whereas the remainder was commercial revenue. The U.S. government revenue was up 45% compared to last year.

Palantir Technologies Inc. (NASDAQ:PLTR) continued to close high-value deals during the quarter. It closed 129 deals valued at over $1 million, 58 deals of at least $5 million, and 32 deals that were worth more than $10 million. This included a $400 million agreement with the U.S. Army in support of the Army Data Platform. The four-year contract has an available ceiling of $618.9 million.

Palantir Technologies Inc. (NASDAQ:PLTR)’s share price has risen 40% year-to-date, with a substantial surge post the Q4 2024 earnings call. The company’s strong financial performance over the past year has attracted investor interest. According to Insider Monkey’s database for Q4 2024, 63 hedge funds held a stake in Palantir, up from 43 at the end of the third quarter.

PLTR is the top pick from the Renaissance Technologies portfolio. As of December 31, 2024, the hedge fund had a stake of over $1.7 billion in the company.

Overall, Palantir Technologies Inc. (NASDAQ:PLTR) ranks first among the Renaissance Technologies Portfolio: Top 10 Stock Picks. While we acknowledge the potential of software companies, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. 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

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