Palantir Technologies’ (NYSE:PLTR) shareholders fared well in the first half 2024 — no doubt about that. So, what’s next for Palantir? Palantir’s growth vision seems otherworldly based on recent announcements. Overall, we rate Palantir stock as a “B” and recommend it for a small share position.
Oddly enough, one famous stock picker seemingly accused Palantir Technologies of having an unclear business model. It’s important to follow the “know what you own” investing principle, so be sure to conduct your full due diligence on Palantir before you even think about buying shares.
Palantir and the ‘AI Space Race’
In 2024, Palantir Technologies is proving that the applications of artificial intelligence technology aren’t limited to Planet Earth. It’s fascinating to consider that the “space race” could soon include AI capabilities, courtesy of Palantir.
Palantir Technologies’ double-shot of news releases occurred in June, starting with an announcement of a team-up with Starlab Space. Through this collaboration, Palantir “will leverage data modeling through digital twins and AI technologies” to enhance the management and operation of Starlab’s space stations.
Then, a week later, Palantir Technologies disclosed a strategic partnership with Voyager Space. In this team-up, Palantir will provide its AI tools to support the Voyager enterprise “for defense and commercial applications.”
Specifically, Voyager Space will avail itself of Palantir Technologies’ AI-enhanced Palantir Foundry and Artificial Intelligence Platform products. With this collaboration, Palantir may establish itself as a pioneer, or at least an early mover, in an exciting AI-tech niche field.
Is Palantir a “Giant Black Box?”
In other news, Mad Money television program host Jim Cramer seems unclear about Palantir Technologies’ business model. It’s an unusual objection, but Cramer is influential, so we won’t just ignore his remarks.
Reportedly, Cramer likened Palantir Technologies to a “giant black box.” Presumably, this is a complaint that Palantir lacks business visibility. Cramer added that it would “help” if Palantir Technologies would “tell what they do.”
It’s unusual to hear a complaint about Palantir’s transparency as a business. For years, the company has been a well-respected provider of data analytics and cybersecurity software for private-sector and government entities.
Lately, Palantir Technologies has modified its offerings to include AI capabilities. This shouldn’t be a cause for confusion or frustration, though. If anything, Palantir’s AI pivot has only helped the company maintain its industry-leader status.
Palantir Technologies grew its U.S. commercial revenue 40% year over year in 2024’s first quarter. So, evidently this “giant black box” of a company is doing quite well.
Palantir Stock: Stay Small but Look to the Stars
Palantir Technologies is taking AI tech in new directions, even beyond the Earth’s atmosphere. Moreover, Palantir’s business model isn’t really unclear; it’s just evolving and expanding, and there’s nothing inherently wrong with that.
Innovation and pioneer status involve risks, so if you choose to invest in Palantir Technologies, it’s wise to keep your share position small. That said, it’s exciting to see how far Palantir can take its cutting-edge AI technology, and we’re confidently assigning Palantir stock a “B” grade today.
On the date of publication, Louis Navellier had a long position in PLTR. Louis Navellier did not have (either directly or indirectly) any other positions in the securities mentioned in this article.
The InvestorPlace Research Staff member primarily responsible for this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article.
On the date of publication, the responsible editor did not have (either directly or indirectly) and positions in the securities mentioned in this article.