Palantir Technologies (PLTR): Capitalizing on Earnings and Market Positioning

Jackson Peak Capital, an investment management firm, released its first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the quarter, the fund returned +33.2%, net compared to MSCI ACWI’s -0.9% return and HFRX Equity Hedge Index’s +0.2% return. Fundamental longs, event-driven longs, and net exposure management led the fund’s outperformance in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its first-quarter 2025 investor letter, Jackson Peak Capital highlighted stocks such as Palantir Technologies Inc. (NASDAQ:PLTR). Palantir Technologies Inc. (NASDAQ:PLTR) builds and deploys software platforms for the intelligence community. The one-month return of Palantir Technologies Inc. (NASDAQ:PLTR) was 9.11%, and its shares gained 446.49% of their value over the last 52 weeks. On June 4, 2025, Palantir Technologies Inc. (NASDAQ:PLTR) stock closed at $130.01 per share with a market capitalization of $306.812 billion.

Jackson Peak Capital stated the following regarding Palantir Technologies Inc. (NASDAQ:PLTR) in its Q1 2025 investor letter:

“Palantir Technologies Inc. (NASDAQ:PLTR) was a contributor as a long event-driven trade. We held PLTR into and through its Q4 earnings. The thesis was that it would continue its beat and raise cadence and have investors chasing the right tail as management lays out what’s possible under the new administration in DC, announcing new contract wins. It also benefitted from market structure dynamics with institutions underweight and PLTR joining the Nasdaq 100 index in December.”

Palantir Technologies (PLTR) Shares Are Up 80% Since This Congressman Bought Company Shares

A software engineer manipulating a vast network of code on virtual monitors.

Palantir Technologies Inc. (NASDAQ:PLTR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 77 hedge fund portfolios held Palantir Technologies Inc. (NASDAQ:PLTR) at the end of the first quarter, which was 64 in the previous quarter. Palantir Technologies Inc.’s (NASDAQ:PLTR) first quarter revenue grew 39% year-over-year and 7% sequentially to $884 million. While we acknowledge the potential of Palantir Technologies Inc. (NASDAQ: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 timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.

In another article, we covered Palantir Technologies Inc. (NASDAQ:PLTR) and shared Jim Cramer’s thoughts on the list of stocks. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.

Disclosure: None. This article is originally published at Insider Monkey.