Palantir surges 90%, Alphabet slumps 9% this year, with mixed analyst opinions

From Nasdaq: 2025-06-27 06:00:00

Palantir Technologies (NASDAQ: PLTR) and Alphabet (NASDAQ: GOOGL) are both diving into the AI revolution, but their stock performances differ. Palantir surged 90%, while Alphabet slumped 9% this year. Wall Street is divided on these stocks, with one rated a strong buy and the other split among analysts. Palantir impresses with its AI platforms, especially in government and business applications.

Palantir’s Gotham platform is a hit in counter-terrorism efforts, gathering data from various sources for insights and planning responses. The Foundry platform streamlines data organization for businesses. Despite its potential, Palantir faces a high valuation and mixed analyst opinions. Investors should consider dollar-cost averaging.

Alphabet (Google) trades cheaply at 18 times forward earnings, owning Google, YouTube, and other businesses. Challenges include a federal ruling on illegal monopolization, potential Chrome spin-off, and AI chatbot competition. Strong divisions like YouTube and cloud services, plus chip manufacturing, offer growth potential. Analysts mostly rate Alphabet a buy, with some concerns on search and ad revenue.

Google’s AI overviews show progress, but broader challenges remain. Investors can buy Alphabet at a discount, considering its diverse business portfolio and growth potential. The lower valuation already accounts for potential issues.

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Read more at Nasdaq: Palantir vs. Alphabet (Google): Wall Street Is Split on One but Strongly Recommends Buying the Other