1 Wall Street Analyst Just Called Palantir "Undervalued." Is He Right?

Yahoo Finance ·

There's no denying the potential for artificial intelligence (AI) to alter the technology landscape in ways that we don't yet comprehend. These sophisticated algorithms are being used to automate tasks, analyze data, and even write computer code -- all of which promise to make businesses more efficient. Unfortunately, there's no consensus on the best way to implement AI, particularly for managers seeking the best return on their investment. Investors are equally divided. On one side of the argument are those concerned that rising valuations of some AI stocks will hamper future returns, while the other camp argues that exceptional returns should command premium valuations. One company that epitomizes this tug-of-war is Palantir Technologies ( PLTR +7.76% ) . The company has emerged as one of the leading providers of AI systems that extract siloed information, delivering data-informed solutions to company-specific business problems. One analyst has just crunched the numbers and concluded that Palantir is undervalued.

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