Key Points
- Two hedge fund managers sold Nvidia and bought Palantir in Q1 2023.
- Nvidia’s share price increased 715% since January 2023, while Palantir returned 2,000% during the same period.
- Palantir is currently the most expensive stock in the S&P 500.
Nvidia (NASDAQ: NVDA) saw significant interest amidst an AI boom, reporting a 69% revenue increase to $44 billion in Q1 2023 and a net income rise of 33% to $0.81 per diluted share. Conversely, hedge fund managers Ken Griffin and Israel Englander reduced their stakes in Nvidia—selling 1.5 million and 740,500 shares, respectively—while greatly increasing their investments in Palantir Technologies (NASDAQ: PLTR) by 204% and 302% respectively.
During Q1 2023, Palantir reported a 39% revenue growth to $884 million, along with a 62% increase in adjusted earnings to $0.13 per diluted share. With a customer base now totaling 769, management has raised sales projections for 2025 to 36%. Despite its strong performance, Palantir’s valuation stands at 107 times sales, making it notably expensive compared to peers.
