Shares of Palantir Technologies Inc. were riding 9.7% higher in Tuesday’s market action as they roared toward their best month in two and a half years.
Palantir’s stock
PLTR,
is ahead 90.6% so far in May and on track to record its largest monthly percentage increase since November 2020, when it surged 167.6%, according to Dow Jones Market Data. The shares are in the midst of a three-session rally that has lifted them 20.8%.
Palantir is among the technology names seen to be capitalizing on the artificial-intelligence craze, with the term coming up 58 times on Palantir’s May 8 earnings call.
“We believe that artificial intelligence, including large language models, will prove transformational for our business and for enterprises in the government and commercial context,” Chief Financial Officer David Glazer said on that call. “To that end, we are rebalancing our efforts and investments to capitalize on these developments.”
Since then, the company announced that it would live stream its June 1 AIPCon customer conference, which will focus on the company’s artificial-intelligence platform.
See also: Palantir stock flies higher as company announces new Ukraine deal
Wolfe Research analyst Alex Zukin wrote in a Friday note to clients that “the squeeze factor was exceptionally high” last week as shares of Palantir, C3.ai Inc.
AI,
and Twilio Inc.
TWLO,
each rose at least 15% during the period.
Don’t miss: C3.ai stock heads for best month yet ahead of earnings
Still, not all are sold on Palantir’s ability to cash in on AI.
“We remain skeptical if Palantir is truly an AI company (we view it as a data processing platform with heavy professional services) and believe GAI [generative AI] will show the limitations of Palantir technology,” RBC Capital Markets analyst Rishi Jaluria wrote after the last earnings report, while keeping his underweight rating.
This story originally appeared on Marketwatch
