TSLA Aug 2024 460.000 call

Palantir's valuation is 'expensive,' but AI potential is strong

Palantir (PLTR) has continued to outperform, driven by the hype surrounding the AI boom. Jefferies Senior Analyst Brent Thill joins the Morning Brief to share his outlook on the stock. Thill acknowledges that Palantir's main challenge lies in its valuation, describing it as "the single most expensive name." However, he remains optimistic about the improving fundamentals at the company and believes the opportunity for investors is "enormous" in terms of AI, although he suggests that there may be "better entry points," which is why he maintains a Hold rating on the stock. Drawing a parallel to Tesla's (TSLA) early days, Thill explains, "When they launched this company, it was like when Musk launched the Tesla," noting that it was unaffordable for most of the population. For more expert insight and the latest market action, click here to watch this full episode of Morning Brief. This post was written by Angel Smith