At the beginning of November, PALANTOUT Technologies (PLTR) Published a solid report for the third quarter of 2024. Alex Karp, CEO of the data analysis company based on artificial intelligence (AI), included a statement in the press release. It contains a sentence that I think investors should keep in mind when they make investment decisions in 2025 and beyond.
Karp: “The world will be divided between the wealthy and the deprivation of AI. »»
In the context of his complete declaration, he means that the owners of the AI will be winners, and that those who have not will be losers. He speaks in a very broad sense – of companies in countries. This black and white proclamation is much stronger than the usual comments that we mean on the importance of AI.
Why should investors give any power to Karp’s word? Beyond its extremely brilliant appearance, even in the terms of Silicon Valley, here is an excellent reason: the gain of 341 % of the palantant action, which crushed the S & P500The 25 % yield made it the most efficient action in the S&P 500 index in 2024. This performance stems from the solid quarterly results of the company and its forecasts far exceeding the expectations of Wall Street and the enthusiasm of investors about its long -term growth prospects.
Being at the top of the list of the most efficient companies in the S&P 500 index would be a great feat for any business at any time. But doing it shortly after its IPO (the IPO of Palantir took place in September 2020) is extremely rare, perhaps even unprecedented.
So, what actions-beyond Palantir, which is one of the best AI actions-do I think investors should favor if they keep in mind the declaration of Karp when they choose The actions to buy?
Favor NVIDIA actions
If we accept that AI is so crucial that “the world will be divided between the wealthy and the destitute”, it naturally follows that whatever the leading company in IA technology provision, it will be a Large winner, provided that the market does not become too fragmented and becoming a commodity.
Currently, this company is Nvidia (NVDA -3.12%))whose title has already been a big winner. However, with the AI market, it still has a lot of long -term growth margin. Graphic processing units (GPU) of the company dominate the advanced IA flea market.
But Nvidia is much more than a simple supplier of fleas or equipment. It provides complete solutions or platforms including hardware, software and other tools for its target markets (data center, professional visualization, games and auto/robotics). This Full-Stack strategy, as well as its partnerships with many large companies, give Nvidia a competitive advantage.
Promote large companies in general
Another thought that naturally comes to my mind following the Karp declaration concerns the importance of the size of the company. In many sectors, large companies have long benefited from a competitive advantage over small ones, as they benefit from economies of scale. They also generally have more resources to achieve acquisitions and finance research and development initiatives.
If we accept that the AI will be so crucial that it separates the winners from the losers throughout the economy, the advantage already benefits from many large companies should intensify. Large companies will generally have more resources to devote to obtaining the best capacities of AI – and the NVIDIA GPUs are very expensive, as is the hiring of the best Talents in AI.
This point suggests that it could be judicious for investors to favor large technological companies even more than in a recent past. Alongside Nvidia, these companies include Apple,, Amazon,, Alphabet,, MicrosoftAnd Metaplateforms. Pioneer of the electric vehicle (VE) Tesla is also often considered a large technological company because it is strongly involved in AI.
Randi Zuckerberg, former market development director and Facebook and sister spokesperson for the CEO of Meta Platformms Mark Zuckerberg, is a member of the board of directors of The Motley Fool. John Mackey, former CEO of Whole Foods Market, a subsidiary of Amazon, is a member of the board of directors of The Motley Fool. Suzanne Frey, executive at Alphabet, is a member of the board of directors of The Motley Fool. Beth McKenna occupies positions at Nvidia. The Motley Fool occupies positions and recommends Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, Palant Technologies and Tesla. The Motley Fool recommends the following options: $ 395 long calls in January 2026 on Microsoft and short calls of $ 405 in January 2026 on Microsoft. The Motley Fool has a policy of disclosure.
