3 Unique Investment Perspectives on the AI Revolution: A Closer Look

Published Date::27/09/2024

Get ready to tap into the AI revolution with Nvidia, Vertiv, and Palantir, offering unique investment angles in hardware, data center services, and software.

The artificial intelligence (AI) theme has been making waves in the investment world, with many investors clamoring for exposure. Thankfully, there are several angles to obtain exposure, including Nvidia NVDA for the hardware side, Vertiv VRT for data center services, and Palantir PLTR for the software angle.

Nvidia shares have taken a breather over the last three months, essentially flat compared to the S&P 500’s 4% gain. However, the company maintains a notably bright outlook across the board, undoubtedly constructive for share performance moving forward. NVDA is one of the ‘late’ reporters during earnings season, with its next release scheduled for November 19th.

Concerning its latest quarterly release, the AI favorite generated record quarterly sales of $30 billion, reflecting an impressive 122% year-over-year climb. Data Center results reflected the main event, with a quarterly sales record of $26.3 billion up 150% on a year-over-year stack.

Vertiv provides services for data centers, communication networks, and commercial and industrial facilities with a portfolio of power, cooling, and IT infrastructure solutions and services. The outlook for its current fiscal year continues to be rosy, with the $2.59 Zacks Consensus EPS estimate up 32% over the last year and suggesting 45% Y/Y growth.

The company’s latest set of results came in strong, with VRT enjoying 57% year-over-year growth in organic orders alongside a 13% sales increase. Due to the momentum it's currently enjoying, Vertiv upped its current year sales, operating profit, and adjusted free cash flow outlook following the print.

Palantir builds software that empowers organizations to effectively integrate their data, decisions, and operations. The stock maintains a bullish outlook across the board, with analysts revising their earnings expectations well higher over recent months.

Its latest quarterly release brought post-earnings positivity, exceeding both earnings and revenue expectations while also lifting its current-year sales outlook. Revenue soared 27% year-over-year, whereas adjusted EPS climbed 200%.

The artificial intelligence (AI) theme continues to grip investors, causing many to seek exposure. Investors can play the trade through several angles, including Nvidia NVDA for the hardware side, Vertiv VRT for data center services, and Palantir PLTR for the software angle.

FAQS:

Q: What are some unique investment angles for the AI revolution?

A: Nvidia for hardware, Vertiv for data center services, and Palantir for software.

Q: What is Nvidia's current outlook?

A: Nvidia maintains a notably bright outlook across the board, undoubtedly constructive for share performance moving forward.

Q: What is Vertiv's current fiscal year outlook?

A: The outlook for its current fiscal year continues to be rosy, with the $2.59 Zacks Consensus EPS estimate up 32% over the last year and suggesting 45% Y/Y growth.

Q: What is Palantir's latest quarterly release highlights?

A: Revenue soared 27% year-over-year, whereas adjusted EPS climbed 200%.

Q: How can investors play the AI trade?

A: Investors can play the trade through several angles, including Nvidia NVDA for the hardware side, Vertiv VRT for data center services, and Palantir PLTR for the software angle.

More Topics :