Latest news with #AlexKarp
Miami Herald
4 days ago
- Business
- Miami Herald
Palantir's stock price surges on AI news, gamma squeeze
It's becoming increasingly difficult to find websites that don't integrate an artificial intelligence chatbot. You open a site, and here is "Kira" (or whatever name you've chosen) asking you how she should address you. Personally, I find that to be very annoying. But that is the trend. Apparently, your company isn't serious enough or big enough if it doesn't have one. Don't miss the move: Subscribe to TheStreet's free daily newsletter Companies pushing AI just for the sake of having it is silly, but there are legitimate uses where AI doesn't end up just being a nuisance. Banks, pharmaceutical companies, retailers, and the U.S. military all use AI, and hopefully, most of them do it better than UnitedHealthcare. Seemingly every company is working on AI chatbots or agentic AI programs that simplify processes (and could replace human jobs). That's been a boon for AI stocks, including Palantir, which has seen its stock price soar 74% in 2025, including a 8% jump on May 30. Fannie Mae has more than $4.3 trillion in assets and plays a foundational role in the U.S. housing market. According to the company, it is the country's largest holder of residential mortgage debt outstanding, owning or guaranteeing an estimated one in four single-family mortgages and 20 percent of multifamily mortgages in the U.S. Related: Veteran trader makes bold move with Palantir, Rocket Lab and SoFi On May 28, the company announced the launch of its AI-powered crime detection unit in partnership with Palantir. The deal expands Fannie Mae's fraud detection capabilities with a new AI-enabled platform that the company believes will help detect and prevent mortgage fraud, potentially saving the U.S. housing market millions of dollars in future losses. "This partnership with Fannie Mae will set off a revolution in how we combat mortgage fraud in this country," said Alex Karp, co-founder and chief executive officer of Palantir. "We are bringing the fight directly to anyone who attempts to defraud our mortgage system and exploit hardworking Americans." But this deal wasn't the only reason behind Palantir's stock price jumping. In March, President Trump signed an executive order calling for the federal government to share data across agencies. Related: Palantir gets great news from the Pentagon In the past few months, Palantir has been granted more work across the federal government, a signal that it may benefit from that order. The use of Palantir isn't surprising. Palantir's roots trace back to developing solutions to secure sensitive government data, and the US government remains a significant driver of the company's revenue. In Q1, governments, including the U.S., contributed $373 million to the company's $884 million in sales. Palantir's government revenue was up 45% year over year in the quarter. Much of that growth is due to the demand for Palantir's Foundry, a data analytics platform, and its AIP (Artificial Intelligence Platform), which enables clients to use AI, including large language models (LLMs) and AI agents, within private networks. More Palantir Palantir gets great news from the PentagonWall Street veteran doubles down on PalantirPalantir bull sends message after CEO joins Trump for Saudi visit In May, the Department of Health and Human Services selected Palantir for its 5-year "Solutioning with Holistic Analytics Restructured for the Enterprise (SHARE)" blanket Purchase Agreement (BPA), valued at $90 million. The New York Times reported this week that Palantir is negotiating with at least two other agencies - the Social Security Administration and the Internal Revenue Service - about buying its technology. Meanwhile, TheStreet's Samuel O'Brient reports the Pentagon is significantly increasing the budget for Palantir's Maven Smart System to $1.3 billion over the next four years, a roughly $795 million increase. The prospect of additional Federal deals has emboldened investors. Retail investors and traders "are buying massive amounts" of call options, said longtime investor Don Kaufman during a recent appearance on Schwab Network, reported the InsiderMonkey. The jump in call activity is causing a 'gamma squeeze,' forcing market makers to buy the underlying shares in Palantir as protection to hedge their risk. Related: Veteran fund manager unveils eye-popping S&P 500 forecast The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
6 days ago
- Business
- Yahoo
Palantir Heavy Insider Sales; CEO and Co-Founders Cash Out Big
May 28 - Last week, Palantir Technologies (NASDAQ:PLTR) CEO Alex Karp sold over $50 million of company stock, according to a recent filing with the SEC. The shares changed hands between $125.26 and $127.70 each in automated transactions designed to cover the tax withholding on vested restricted stock units. After the sale, Karp still holds roughly 6.43 million Palantir shares, valued at about $787 million based. Other senior executives also reduced their stakes. Chief Technology Officer Shyam Sankar sold approximately $21 million of Palantir stock, while co-founder and President Stephen Cohen disposed of about $43.5 million in shares, per separate filings. These automatic sales are tied to tax obligations rather than a change in leadership or strategy, analysts note. Palantir, known for its data analytics and artificial intelligence software, continues to invest heavily in research and government contracts. Investors will watch for any shifts in insider sentiment as the company prepares to report second-quarter results this summer. Based on the one year price targets offered by 20 analysts, the average target price for Palantir Technologies Inc is $99.81 with a high estimate of $150.00 and a low estimate of $40.00. The average target implies a downside of -19.11% from the current price of $123.39. This article first appeared on GuruFocus.
Yahoo
7 days ago
- Business
- Yahoo
Should You Forget Palantir? This Wide-Moat AI Stock Is a Better Buy
Palantir continues to put up strong numbers, but its valuation is at nosebleed levels. Intuit is capitalizing on AI thanks to products like TurboTax and Quickbooks. The stock's valuation looks high, but its growth prospects are strong. 10 stocks we like better than Intuit › Palantir Technologies (NASDAQ: PLTR) stock has captivated investors, and it's easy to see why. The software stock has emerged as one of the biggest winners of the artificial intelligence (AI) era, thanks in large part to its AI platform (AIP), which combines the power of large language models (LLMs) with its deep data analytics platforms like Gotham and Foundry. Demand for Palantir's services has soared in the AI era, and its revenue growth has now accelerated for seven quarters in a row, coming in at 39% in the first quarter. At the same time, profits have surged as its operating margin has ramped up. In the first quarter, its operating income jumped 118% to $176 million. There's been no shortage of hype around Palantir as well, and that includes CEO Alex Karp, who's prone to using grandiose language to describe the company. In its recent earnings report, he said, "This is a level of surging and ferocious growth that would be spectacular for a company a tenth of our size. At this scale, however, our ascent is, we believe, unparalleled." Investors have bought into that hype as well, sending the stock up over 900% over the past two years. In fact, Palantir is now the most valuable pure-play software company at a market capitalization of $291 billion, which is ahead of Salesforce -- another software powerhouse -- at $262 billion. Along with that growth, Palantir's valuation has also soared into the stratosphere as it now trades at a price-to-sales ratio of 98, a valuation that would be considered expensive even if it was a quarter of that level. For investors impressed with Palantir's prowess in AI but looking for a more affordable alternative, there's one attractive software stock that just popped on its earnings report: Intuit (NASDAQ: INTU), the maker of TurboTax and Quickbooks. Because of its software geared toward consumers and small businesses, Intuit has one of the best use cases of AI, as it can leverage that technology to make tax preparation and accounting and bookkeeping easier. The company did just that in its recently reported fiscal third quarter, which is its biggest quarter of the year as it comes during tax season. CEO Sasan Goodarzi said in the report, "We're redefining what's possible with AI by becoming a one-stop shop of AI-agents and AI-enabled human experts to fuel the success of consumers and small and mid-market businesses." AI helped drive a number of product improvements in Turbotax with "data-in," or automated data imports covering 90% of customers' most common tax documents, up from 68% last year. AI also assisted Turbotax's human experts, and the time to complete returns was significantly reduced. In Quickbooks, the company is planning to introduce several end-to-end AI agents, including customer, payments, finance, project management, and accounting agents. AI is also helping drive the company's strong growth, even in a time of macroeconomic uncertainty, and management said that it believes it can continue to expand its already wide operating margin. In its fiscal third quarter, revenue rose 15% to $7.8 billion, which drove adjusted earnings per share up 18% to $11.65. For the full fiscal year, it raised its guidance on the top and bottom lines, calling for 15% revenue growth and 18% to 19% adjusted EPS growth to $20.07 to $20.12. Based on that forecast, the stock trades at a price-to-earnings ratio of just 36, which is about 60% lower than Palantir's price-to-sales ratio and only a modest premium to the S&P 500. Intuit has two sticky software products, TurboTax and Quickbooks, that keep customers in the ecosystem and can easily benefit from AI advances. Additionally, Credit Karma is taking off, with revenue up 31% in the third quarter, and management raised full-year revenue growth guidance from 5% to 8% to 28%, showing a dramatic acceleration in the business. The company reported an operating margin of 48% in the third quarter, and future growth should continue to be high margin as the subscription software model benefits from having near-zero marginal costs. Intuit stock hit an all-time high on Friday, but the stock looks poised to hit new heights in the future as it makes AI a bigger part of its arsenal. Before you buy stock in Intuit, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Intuit wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $639,271!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $804,688!* Now, it's worth noting Stock Advisor's total average return is 957% — a market-crushing outperformance compared to 167% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of May 19, 2025 Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Intuit, Palantir Technologies, and Salesforce. The Motley Fool has a disclosure policy. Should You Forget Palantir? This Wide-Moat AI Stock Is a Better Buy was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
24-05-2025
- Business
- Yahoo
Palantir Technologies Inc. (PLTR) CEO Sells $50M in Shares as Execs Also Cut Holdings
Palantir Technologies Inc. (NASDAQ:PLTR) CEO Alex Karp has sold over $50 million in company shares this week, according to recent securities filings. The transactions, which took place between $125.26 and $127.70 per share, leave Karp with approximately 6.43 million PLTR shares, valued at around $787 million based on Thursday's closing price. The sales were part of automatic transactions to cover tax obligations related to vesting restricted stock units. Other senior executives also executed major stock sales: Chief Technology Officer Shyam Sankar sold about $21 million in shares, while co-founder and president Stephen Cohen offloaded roughly $43.5 million. These moves come as Palantir Technologies Inc. (NASDAQ:PLTR)'s stock continues to climb, recently surpassing Salesforce in market value and entering the ranks of the top 10 most valuable U.S. tech companies. Palantir Technologies Inc. (NASDAQ:PLTR)'s surge is fueled by strong demand for its artificial intelligence software and a wave of new government contracts, amid a broader push for federal efficiency. The stock has soared nearly 62% in 2025, outpacing major tech peers, though concerns about international growth linger. Despite the volatility, Karp remains bullish, telling CNBC, 'We're happy. We're going to partner with the world's best people and we're going to dominate.' While we acknowledge the potential of PLTR to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PLTR and that has 100x upside potential, check out our report about this READ NEXT: and Disclosure: None.
Yahoo
24-05-2025
- Business
- Yahoo
Palantir Technologies Inc. (PLTR) CEO Sells $50M in Shares as Execs Also Cut Holdings
Palantir Technologies Inc. (NASDAQ:PLTR) CEO Alex Karp has sold over $50 million in company shares this week, according to recent securities filings. The transactions, which took place between $125.26 and $127.70 per share, leave Karp with approximately 6.43 million PLTR shares, valued at around $787 million based on Thursday's closing price. The sales were part of automatic transactions to cover tax obligations related to vesting restricted stock units. Other senior executives also executed major stock sales: Chief Technology Officer Shyam Sankar sold about $21 million in shares, while co-founder and president Stephen Cohen offloaded roughly $43.5 million. These moves come as Palantir Technologies Inc. (NASDAQ:PLTR)'s stock continues to climb, recently surpassing Salesforce in market value and entering the ranks of the top 10 most valuable U.S. tech companies. Palantir Technologies Inc. (NASDAQ:PLTR)'s surge is fueled by strong demand for its artificial intelligence software and a wave of new government contracts, amid a broader push for federal efficiency. The stock has soared nearly 62% in 2025, outpacing major tech peers, though concerns about international growth linger. Despite the volatility, Karp remains bullish, telling CNBC, 'We're happy. We're going to partner with the world's best people and we're going to dominate.' While we acknowledge the potential of PLTR to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PLTR and that has 100x upside potential, check out our report about this READ NEXT: and Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
