Top 10 AI Stocks Trending On Wall Street

7. Palantir Technologies Inc. (NASDAQ:PLTR)

Number of Hedge Fund Holders: 43

Palantir Technologies Inc. (NASDAQ:PLTR) is a leading provider of artificial intelligence systems. On February 3rd, William Blair analyst Louie DiPalma reiterated their bearish stance on the stock, giving a “Sell rating”. The rating largely stems from Palantir’s valuation and future growth prospects. According to the firm, recent revenue and operating income exceeded expectations, and its software products, Foundry and Gotham, are also gaining traction. CEO Alex Karp has attributed much of the company’s growth to their use of artificial intelligence. Nevertheless, the firm stated that the stock is currently valued at a premium compared to peers with similar business fundamentals. Moreover, despite positive developments in AI, the risk of valuation multiple compression remains a risk. The potential market correction and the company’s revised revenue guidance for 2025 which falls short of previous targets has in turn led the firm to maintain the Sell rating.