Palantir: Stretched Valuation But Many Reasons To Be Bullish

Summary:

• Palantir Technologies Inc. has seen a remarkable 330% YTD stock increase, from $17 to $72, driven by strong AI and SaaS growth.
• The stock surged 90% since September 23, 2024, when it closed at $37.95, highlighting its rapid appreciation and investor confidence.
• Palantir’s biggest client is the U.S. Government, solidifying its position as a leading AI platform and defense contractor.
• The company’s profitability and leadership in AI and SaaS make it a standout investment in the current market.

Introduction

The AI trade is still hot, but not a lot of companies generate the revenues to show for it. One company has earned bragging rights for their recent growth however, and that is Palantir Technologies Inc. (

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours.

Business relationship disclosure: This article was written by a consultant in collaboration with HedgeMix.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.