Nvidia vs. Palantir: Which Stock Will Make You Richer? | The Motley Fool

Nvidia vs. Palantir: Which Stock Will Make You Richer? | The Motley Fool

By Stefon Walters
Publication Date: 2026-03-30 03:00:00

Despite the bad start to this year, Nvidia (NVDA 2.17%) and Palantir (PLTR 3.05%) have been some of the market’s hottest stocks during this artificial intelligence (AI) boom. Their stocks are up around 530% and 1,640% in the past three years, respectively.

They’re both AI giants, but in different spaces. Nvidia is an AI hardware powerhouse, and Palantir is thriving on the software side. Given their success and leadership in their respective industries, which stock will make you richer?

Image source: The Motley Fool.

It’s hard to discuss these two stocks without diving into their valuations. As of market open on March 27, Nvidia’s stock was trading at a forward price-to-earnings (P/E) ratio around 20.6 times. Palantir’s stock was trading at more than five times that, with a forward P/E ratio of around 109.4.

Nvidia Stock Quote

Today’s Change

(-2.17%) $-3.72

Current Price

$167.52

That alone doesn’t make Nvidia the automatic answer, but the huge gap between them is noteworthy. Palantir’s stock is priced for near-perfection, so anything short of meeting those expectations could result in huge drops. Volatility is inevitable with both stocks, but Nvidia’s valuation makes it less vulnerable.

Palantir Technologies Stock Quote

Today’s Change

(-3.05%) $-4.50

Current Price

$143.06