HISTORICAL FACTS: Will palantir technologies earnings justify its ai hype - The Untold Story

The markets will look to the quarterly earnings report later today from Palantir Technologies (PLTR) to see if the recent AI hype of the company’s products justifies the surge in its stock price.  Palantir Technologies is up more than +180% this year and is up more than +135% since its last earnings report three months ago when company CEO Karp talked up the company’s artificial intelligence (AI) products and the demand for them.  Investors jumped into Palantir, and short sellers ran for cover after CEO Karp said that new AI developments at his company are so powerful that “I’m not sure we should even sell this to some of our clients.”

Even after Palantir Technologies rallied to a 20-month high last Tuesday, the majority of analysts haven’t bought into the AI hype for the stock.  According to Bloomberg data, analysts have twice as many sell ratings on the stock than buy ratings.  Roundhill Financial said, “While we know Palantir is involved with AI, much of its technology remains unproven.  Names of this nature, meaning anything involved with AI, will have to start showing greater progress to justify the multiple.”