Nvidia and Palantir see strong stock gains in 2024 driven by AI demand

Nvidia and Palantir Technologies have both seen significant stock gains in 2024, with Nvidia up 152% and Palantir up 133%. Both companies are now trading at high valuations due to the growing demand for AI technology. Nvidia continues to dominate the AI chip market, holding over 85% market share. Its revenue for the second quarter of fiscal 2025 rose 122% year-over-year to $30 billion, driven by strong demand for its AI graphics cards. Analysts expect Nvidia's revenue to reach $176 billion in fiscal 2026. Palantir is recognized as a leader in AI software, with its revenue growing 23% in the first half of 2024. The company raised its full-year revenue guidance to nearly $2.75 billion, reflecting increased customer interest in its AI platform. However, Nvidia's faster growth and lower valuation make it a more attractive investment option.