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Palantir (PLTR) Pullback Creates Entry Point, William Blair Says

Palantir Technologies Inc. (NASDAQ:PLTR) is one of the 10 AI Stocks Gaining Attention on Wall StreetOn February 2, William Blair analyst Louie DiPalma upgraded the stock to “Outperform,” citing buying opportunity after a 30% selloff.

The firm’s Dotted Line government tracker and its separate commercial tracker has indicated that Palantir’s momentum continues to build. The new administration “continues to build” while enterprises continue to add workflows.

This, the firm continued, has contributed to an “astounding” Rule-of-114 September quarter, and also a likely strong December quarter. It added that while Palantir’s valuation remains “frothy,” it appears more reasonable compared to recent venture rounds for AI ecosystem companies.

Despite Palantir’s momentum, shares have not been immune to the broader software sector selloff. The earnings day reaction is also likely to be volatile, said the firm, but it anticipates a positive move following earnings.

The firm further said that even if the stock does fall like they did last quarter, shares are likely to return to greater than $200 over the next twelve months driven by positive developments.  Meanwhile, there have been reduced concerns around government contract concentration under the current administration.

“We upgraded shares to Market Perform last March following the DOGE-inspired selloff at $84 per share as the risk/reward became more attractive under the new administration (upgrading to Market Perform on 33% pullback; Rich AI Pipeline Helps Offset Frothy Valuation). In our view, the recent selloff creates a buying opportunity for Palantir as a leader in the AI supply chain.”

Palantir Technologies Inc. (NASDAQ:PLTR) is a leading provider of artificial intelligence systems.

While we acknowledge the risk and potential of PLTR as an investment, our conviction lies in the belief that some 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 and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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