Palantir Technologies (NASDAQ: PLTR) has emerged as one of Wall Street’s most discussed stocks, with its price surging an impressive 344% over the past year. Despite this remarkable rally, the stock remains a divisive topic on Wall Street, with analysts debating whether its valuation reflects its growth potential or is running ahead of fundamentals.
Adding fuel to the discussion, Jim Cramer, host of Mad Money and a former hedge fund manager, recently endorsed Palantir in a post on X.
Known for his polarizing market opinions, Cramer’s comment has sparked mixed reactions. While some see his endorsement as a vote of confidence, others remain skeptical, suggesting it might signal overconfidence in a stock already under scrutiny.
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“Nothing can stop Palantir, nothing” – Jim Cramer
Though Cramer has a reputation among netizens for jinxing stocks—his recommendations are often accused of leading to price collapses—his track record as an analyst tells a more nuanced story.
This perception gave rise to Tuttle Capital’s now-shuttered ‘Inverse Cramer’ ETF, which aimed to profit by betting against his advice. However, the fund ultimately failed.
Market reaction and Palantir stock performance
Palantir has been a hot topic on Wall Street, particularly after Wedbush analyst Dan Ives raised his price target from $75 to $90, citing confidence in the company’s AI strategy and its potential to rival Oracle and Salesforce.
The positive sentiment lifted Palantir’s stock price by 1.59% to reach $78.09 in early trading hours on January 23, showing continued investor confidence despite growing debate over its valuation.
Cramer’s comment has further intensified the conversation, drawing a mix of humor and skepticism on social media.
What’s next for Palantir stock?
Palantir’s future remains uncertain despite its recent achievements. The company’s AI-driven strategy and inclusion in major indices are undoubtedly positive signs, but concerns over its valuation and its ability to sustain growth continue to loom.
While Cramer’s endorsement has added a layer of intrigue, investor focus will remain on tangible results and market performance.
All eyes are now on Palantir’s fourth-quarter and full-year results for 2024, set to be released on February 3, 2025. Its performance in the weeks ahead will likely shape investor sentiment further.
Featured image via Shutterstock
