Palantir (NASDAQ:PLTR) has turned into the poster child of AI stocks. That title belonged to Nvidia (NASDAQ:NVDA) a year before, though the company’s earnings have caught up. For PLTR, though, the premium you’re paying is massive, even if you value it based on cash flow and take the highest estimates.
The business is solid, the moat is real, but the price already assumes most government agencies and Fortune 500 companies will stampede into its platform. It’s very unlikely PLTR stock will get you triple-digit returns in short order.
The following three AI stocks can.
This post originally appeared at 24/7 Wall St.