Data News > Artificial Intelligence Stocks Showdown: Palantir Technologies vs. IBM

Artificial Intelligence Stocks Showdown: Palantir Technologies vs. IBM

By KlickAnalytics Data Insights  |   November 29, 2024 10:01AM ET

Key Points

- Palantir Technologies has seen a 275% increase in shares year to date
- Billionaire investor sells 91% of his stake in Palantir Technologies
- Wall Street analysts divided on Palantir's earnings in 2025
- Despite surging stock prices, some investors hesitant to buy Palantir
- Palantir's strong third-quarter earnings results have caught attention in the market

It has been a prosperous year for stock market enthusiasts, with the S&P 500 index boasting a remarkable 26% return in 2024. This success can be attributed to robust macroeconomic conditions, record-breaking corporate earnings, and a growing sense of optimism surrounding the transformative potential of artificial intelligence (AI) in various industries. In the realm of AI, Palantir Technologies and IBM stand out as two major players.

Palantir Technologies, a cloud software company lauded for its data analytics and AI platforms, has emerged as a top performer in the AI sector. With shares surging by 275% year to date, Palantir is considered the best-performing stock on the S&P 500 in 2024, second only to Vistra, an unregulated utility experiencing a surge in stock prices driven by anticipation of increased demand for power as a result of AI advancements.

Despite its impressive performance, some investors remain cautious about Palantir's future prospects. One billionaire investor recently made headlines by selling 91% of his stake in the company, sparking speculation about the long-term trajectory of Palantir's stock. On the other hand, Wall Street analysts seem divided on Palantir's earnings potential in 2025, with some foreseeing minimal upside while others believe earnings could potentially double.

The recent third-quarter earnings report from Palantir Technologies has generated significant buzz in the market. The company's stellar financial results have positioned it as a standout player in the AI economy, attracting attention from both investors and analysts. Despite this positive sentiment, some individuals, particularly those with limited investment experience, may find themselves hesitant to invest in Palantir due to the volatile nature of the stock market.

In light of these developments, the debate around whether Palantir stock is a viable investment option remains ongoing. While the company has experienced substantial growth and success in recent months, concerns about the sustainability of this trend persist among some market participants. Additionally, reports of billionaires opting to sell off Palantir shares in favor of other investment opportunities, such as the Vanguard Information Technology ETF, further underscore the uncertainty surrounding the stock. Ultimately, the decision to invest in Palantir Technologies or other AI stocks hinges on individual risk tolerance, market analysis, and long-term investment goals.

For more information:
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  • Price Distribution
  • Analyst Recommendations
  • Earning Price Impact Analysis
  • Seasonality


  • Disclaimer: the above is a summary showing certain market information. KlickAnalytics is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from various resources and more. Communications displaying market prices, data and other information available in this post are meant for purely for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.