Which Artificial Intelligence (AI) Stock Is More Likely to Make You a Millionaire: Figma or Palantir?

Globe and Mail

11 hours ago

Key Points
Figma is smaller than Palantir and has a large total addressable market.
Palantir is growing faster, with a "Rule of 40" score that's in a league of its own.
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Investing early in the right stocks can sometimes be highly rewarding. For example, Palantir Technologies (NASDAQ: PLTR) went public in September 2020 with an opening share price of $10. Today, its shares trade at around $186.
More recently, Figma (NYSE: FIG) conducted its initial public offering (IPO) on July 31, 2025, with a share price of $33. Although the stock has been volatile, it's still worth roughly $82.
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It's too late to get in at the very beginning for either of these artificial intelligence (AI) stocks. But which one is more likely to make you a millionaire?
The case for Figma
One argument for why Figma could be more likely to be a millionaire-maker than Palantir is that it's much smaller. Figma's market cap of around $40 billion is only a fraction of Palantir's market cap of roughly $440 billion. Generally speaking, smaller companies have more room to grow than larger companies do.
Figma's growth is already impressive. Its revenue soared 46% year over year in its latest quarter. Customers are sticking with Figma's artificial intelligence (AI)-powered product design and development software, too, as evidenced by a sky-high net dollar retention rate of 132%.
Figma's customer base includes 78% of the Forbes 2000 and 95% of the Fortune 500. We're talking about a list that features marquis companies such as Airbnb, Atlassian, DuoLingo, Microsoft, Netflix, The New York Times, and Zoom.
Figma could have a massive opportunity ahead. It estimates its total addressable market is currently around $33 billion, and IDC projects that more than 1 billion new apps will be developed by 2028. Figma's 2024 sales of $749 million are a drop in the bucket, compared to this growing market.
The case for Palantir
Perhaps the most compelling argument that Palantir is more likely to make investors $1 million than Figma is that it's growing faster. The company reported year-over-year revenue growth of 48% in the second quarter of 2025.
Here's another biggie: Palantir has a "Rule of 40" score. The "Rule of 40" is a popular rule of thumb for evaluating software-as-a-service (SaaS) companies. Its premise is that a company's revenue growth rate plus its profit margin should be 40% or higher.
Palantir's "Rule of 40" score is a sky-high 94%. This puts the company in a league of its own among software makers.
Palantir's customer count of 485, as of June 30, 2025, is well below Figma's number of customers. However, the value of Palantir's contracts with customers is much larger. In Q2 alone, Palantir closed 157 deals of at least $1 million and 42 deals of at least $10 million.
The U.S. government remains Palantir's largest customer, and its government business continues to grow robustly. However, its commercial business is growing even faster. Palantir expects its commercial revenue to soar by at least 85% this year.
CEO Alex Karp wrote to shareholders recently that the company's U.S. commercial business is "the emerging core of Palantir and the seed of what an entire industry will become, perhaps the world's most dominant, in the years to come."
And the winner is...
When all factors are considered, I think that Palantir is more likely than Figma to make you a millionaire. Palantir's opportunity appears to be larger than Figma's, in my view.
That said, don't expect an investment of $10,000 in Palantir to grow to a cool $1 million. Much of the company's growth prospects are already baked into its share price and then some, with its price-to-earnings-to-growth (PEG) ratio of 4.89. If you're hoping to become a millionaire with a relatively small initial investment, you'll probably need to look elsewhere.
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Annie Dean, a Vice President at Atlassian, is a member of The Motley Fool's board of directors. Keith Speights has positions in Microsoft. The Motley Fool has positions in and recommends Airbnb, Atlassian, Microsoft, Netflix, Palantir Technologies, The New York Times Co., and Zoom Communications. The Motley Fool recommends Duolingo and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.