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future.10 stocks we like better than Palantir Technologies ›Palantir Technologies (NASDAQ: PLTR) has turned out to be a stunning investment in the past year. The stock has shot up a remarkable 385% during this period, which means that it has multiplied by almost 5x in a very short time.However, Palantir's rise can't be just attributed to its healthy financial performance. Though its growth rate has been picking up in recent quarters on account of the robust demand for its artificial intelligence (AI) software platform, there is an element of hype as well to Palantir's red-hot rally. That's the reason why it can be said that the stock may have gotten ahead of itself, and that's evident from its expensive valuation.But will the valuation keep Palantir stock from flying higher in the next year? Or will the AI hype train send shares of this software specialist higher? Let's find out.Palantir's sales multiple of 130 and price-to-earnings ratio of 592 make it clear that the market is expecting outstanding growth from this tech stock. However, at this valuation, Palantir will have to keep delivering extraordinary levels of growth quarter after quarter. Any cracks in its growth story could lead investors to press the panic button.Not surprisingly, analysts aren't confident of any more upside from Palantir in the coming year. It has a median 12-month price target of $165, as per 29 analysts covering the stock. That points toward an 8% drop from current levels. But then, Palantir stock has remained disconnected from reality in the past year, and there is a good chance that this trend may continue in the coming year as well.The primary reason why Palantir's stock has taken off in the past year is because of the success of its Artificial Intelligence Platform (AIP). This offering has not just helped boost its customer base at an impressive pace, but is also allowing the company to get more business from existing customers.That's not surprising, as Palantir points out that AIP allows its customers -- both federal and commercial -- to integrate generative AI into their operations. They can build apps, automate actions, and create AI agents using their data in real-time, eventually enabling them to improve operating efficiency and remove redundancy.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,715.79 +0.44 (+0.01%)Dow 3046,758.28 +238.58 (+0.51%)Nasdaq22,780.51 -63.59 (-0.28%)Russell 20002,476.18 +17.69 (+0.72%)VIX16.65 +0.02 (+0.12%)Gold3,908.90 +40.80 (+1.05%)PortfolioSign in to access your portfolioSign inTop gainersMFH Mercurity Fintech Holding Inc. 29.41 +7.80 (+36.09%)LAC Lithium Americas Corp. 9.04 +2.18 (+31.78%)QUBT Quantum Computing Inc. 24.62 +4.64 (+23.22%)RUM Rumble Inc. 8.56 +1.17 (+15.83%)USAR USA Rare Earth, Inc. 25.96 +3.25 (+14.31%)Top losersHIMS Hims & Hers Health, Inc. 52.54 -5.33 (-9.21%)RBLX Roblox Corporation 122.69 -10.81 (-8.10%)MENS Jyong Biotech Ltd. 48.00 -4.00 (-7.69%)PLTR Palantir Technologies Inc. 173.07 -13.98 (-7.47%)LVS Las Vegas Sands Corp. 50.97 -4.08 (-7.41%)Most activePLUG Plug Power Inc. 3.8001 +0.9701 (+34.28%)OPEN Opendoor Technologies Inc. 8.11 +0.10 (+1.25%)LAC Lithium Americas Corp. 9.04 +2.18 (+31.78%)RKT Rocket Companies, Inc. 17.80 -0.57 (-3.10%)SNAP Snap Inc. 8.54 +0.32 (+3.89%)Earnings eventsMy earnings eventsEarnings eventsTrending tickersBTC-USD Bitcoin USD 123,123.13 +1,318.55 (+1.08%)ETH-USD Ethereum USD 4,516.28 +51.01 (+1.14%)BTC-CAD Bitcoin CAD 171,861.40 +1,840.50 (+1.08%)ARCC Ares Capital Corporation 20.15 -0.24 (-1.18%)DOGE-USD Dogecoin USD 0.25 +0.01 (+2.33%)Top economic events