In early April, Jim Cramer picked Palantir Technologies Inc PLTR apart, saying it's not even a "real company." One month later, he has completely changed his mind.
What Happened: Palantir announced an expansion of its partnership with Microsoft Corp MSFT last month. Following the announcement, Cramer said the data software company focused on AI was really just a "series of press releases" made up for the "memesters."
He complained about Palantir CEO Alex Karp's use of foul language on conference calls and said the company would be a lot more legitimate if Karp would "stop dropping F-bombs."
Why It Matters: Following Palantir's strong quarterly report this week, Cramer changed his mind on the Karp-led company.
"I've been very critical of Alex Karp and not just because I thought it was totally unnecessary for him to curse on the conference call, but they had been losing money hand over fist," Cramer said Tuesday on CNBC's "Squawk On The Street."
"They made money, $17 million, and they actually forecast GAAP positive, and what they did is pivot."
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Previously, Palantir didn't care about making money and the company was all about "world domination," Cramer said: "They did the pivot that we have all been hoping for. It was a clear pivot and I think the stock should be up."
In a letter to shareholders, Karp said he expects Palantir to remain profitable in each quarter through the end of the year. The stock was up more than 20% on the heels of the company's bullish forecast.
Cramer noted that he plans to take a closer look at the company now that it's actually making money. He expressed interest in what Palantir is doing for Ukraine in the ongoing war with Russia.
From Last Month: Jim Cramer Says This Company Is 'The Secret' To Winning The Russia-Ukraine War, Warns Putin About WWII 'Replay'
He highlighted new AI technology that allows Palantir to "control the battlefield":
"Look out, Russia," Cramer said.
On a conference call with investors and analysts, Palantir said Ukrainian forces have been unleashing the company's AI products with incredible speed.
"The future has already arrived," the company said.
PLTR Price Action: Palantir has a 52-week high of $11.61 and a 52-week low of $5.84.
Palantir shares were up 21.9% at $9.43 at the time of writing, according to Benzinga Pro
Photo via Shutterstock.
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