Prominent Fund Manager Bullish On Palantir's AI Potential, Predicts Nearly 60% Upside

A notable fund manager has identified Palantir Technologies Inc PLTR as a significant contender in the AI sector, predicting a substantial increase in its stock value.

What Happened: Brian Stutland, a portfolio manager at Equity Armor Investments, has highlighted Palantir as a promising AI investment. He pointed out the company’s expanding role in the AI domain, particularly in the defense and intelligence sectors, reported CNBC.

"They're doing more than just their cybersecurity for the government. They are really starting to become very creative in the AI world," Stutland said.

Stutland, who manages the Rational Equity Armor Fund, has given Palantir a price target of $37, indicating a potential 57% increase. He emphasized the company’s AI applications for military and defense, stating that Palantir is poised to become a significant player in this space.

See Also: Crypto Carnage: Bitcoin’s Slide Below $69,000 Triggers Massive $700 Million Liquidation

Palantir’s stock has already seen a 41% rise year-to-date, with a nearly 10% surge on March 6 following the announcement of its Tactical Intelligence Targeting Access Node being chosen by the U.S. Army.

Why It Matters: The AI industry is witnessing significant growth, with experts predicting that AI will revolutionize various sectors. Palantir’s increasing role in the AI domain, particularly in government contracts, is a significant development.

However, the AI industry’s rapid advancement has also raised concerns. Palantir’s co-founder, Joe Lonsdale, recently highlighted the potential risks of AI becoming “too smart” and being used for purposes beyond our comprehension. This adds a layer of complexity to Palantir’s AI expansion.

Despite these concerns, Palantir’s AI platform is gaining traction in the market. Tech analyst Dan Ives of Wedbush Securities recently raised the company’s price target from $30 to $35, citing the AIP as a “game changer.” This further underscores the potential of Palantir’s AI initiatives.

Despite some controversies, such as CEO Alex Karp‘s comments about short sellers, Palantir’s stock has continued to perform well. The company’s AI division is seen as a potential game-changer, with analysts predicting a significant share of the $1 trillion AI Global TAM.

Read Next: ‘Don’t Be Afraid’: Top Crypto Analyst Shares His Plan To Buy Dogecoin, Shiba Inu And Other Altcoins For Potential 5X Gains Post Correction

Image Via Shutterstock