Palantir Technologies (NASDAQ: PLTR) reported stellar fourth-quarter 2025 results with revenue up 70% year over year to $1.4 billion and U.S. commercial revenue jumping 137% to $507 million. CEO Alex Karp touted Palantir as “an n of 1” during the earnings call, taking swipes at companies like Nvidia.

Both Palantir and Nvidia are facing challenges keeping up with demand. Palantir’s international commercial revenue only grew 8% year over year, with CEO Karp highlighting a lack of bandwidth to expand outside the U.S. Nvidia is selling every GPU it can make, but demand for AI infrastructure continues to exceed expectations.

Palantir’s struggle with international growth and capacity constraints due to a lack of skilled staff pose a harder problem to fix compared to Nvidia’s challenge of keeping up with demand. Palantir is focusing on elite technical hiring and launching an American tech fellowship to address staffing shortages.

Investors may find Nvidia a more attractive choice over Palantir, with Nvidia expecting faster revenue growth and trading at a lower forward earnings multiple. Nvidia’s aggressive actions to secure supply and address demand could give it an edge over Palantir in solving its challenges, making it an easier choice for investors in the AI sector. 1. The stock market saw a significant increase today, with the S&P 500 reaching a new record high of 4,500 points.

2. The CDC announced that COVID-19 cases have decreased by 20% over the past week, but the Delta variant is still a concern.

3. The unemployment rate fell to 5.2% in August, with 235,000 jobs added to the economy.

4. Hurricane Ida made landfall in Louisiana as a Category 4 storm, causing widespread damage and power outages.

5. The Tokyo Paralympics have come to a close, with Team USA winning a total of 104 medals, including 37 gold.

Read more at Nasdaq: Contrarian Take: Palantir Has a Much Bigger Problem Than Nvidia