The March quarter earnings season has revived investor interest in artificial intelligence (AI) stocks, with several companies delivering better-than-expected results amid robust AI spending. Using TipRanks’ Stock Comparison Tool, we pitted Palantir Technologies (PLTR) and Super Micro Computer (SMCI) against each other to determine the better AI stock, according to analysts.
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Palantir Technologies (NASDAQ:PLTR) Stock
Earlier this month, data analytics company Palantir Technologies yet again delivered market-beating revenue and earnings. The company reported solid growth across its Commercial and Government businesses for Q1 2026, with robust demand for its Artificial Intelligence Platform (AIP). Notably, Q1 2026 revenue surged 85%, marking PLTR’s fastest growth since its public market debut in 2020. Moreover, Palantir ended the quarter with $4.45 billion in remaining performance obligations (RPO), up 134% year-over-year.
Despite such impressive metrics, PLTR stock is down 25% year-to-date. While there are concerns about PLTR stock’s steep valuation, most analysts are bullish about continued growth.
Is PLTR Stock a Buy, Sell, or Hold?
Following the Q1 print, Truist Securities analyst Arvind Ramnani reiterated a Buy rating on Palantir stock with a price target of $223. The analyst noted that the company delivered another significant beat-and-raise, “reinforcing its positioning as a critical infrastructure layer for enterprise AI.” Given the year-to-date pullback in PLTR stock, Ramnani said that he sees a growing disconnect between Palantir’s accelerating fundamentals and the broader software group.
Ramnani added that PLTR’s revenue growth has now accelerated for 11 consecutive quarters to 85% year-over-year in Q1 2026, compared to deceleration to mid-teens for the software median. He also highlighted that Palantir has expanded its operating margins by about 35% compared to 23% operating margin (2026 estimate) for the median software peer. While Ramnani agrees that PLTR stock is trading at a high valuation, he contends that it deserves a premium as a “best-in-class AI asset.”
Overall, Wall Street has a Moderate Buy consensus rating on Palantir Technologies stock based on 13 Buys, four Holds, and two Sells. The average PLTR stock price target of $188.31 indicates 41% upside potential.
Super Micro Computer (NASDAQ:SMCI) Stock
AI server provider Super Micro Computer’s Q3 FY26 results helped its stock recover, providing some relief to investors following the indictment of three company-related individuals, including its co-founder Yih-Shyan Liaw, in connection with an alleged conspiracy to commit export-control violations. Liaw had resigned from SMCI’s board following the news.
While SMCI’s Q3 FY26 revenue lagged expectations, its EPS handily exceeded expectations due to improved margins. SMCI said that orders and backlog remain strong, with AI GPU-related platforms contributing over 80% of revenue. With the addition of new manufacturing facilities, Super Micro believes that it is “exceptionally well-positioned” to meet the massive demand for AI data center infrastructure.
Is SMCI a Good Buy Right Now?
In reaction to the Q3 FY26 results, KeyBanc analyst Brandon Nispel reiterated a Hold rating on Super Micro Computer stock. The analyst noted that the company’s Q3 FY26 revenue lagged expectations and its own guidance. Meanwhile, gross margin significantly surpassed expectations, driven by a favorable customer mix, lower tariffs, and an inventory write-down.
Nispel stated that while he likes SMCI’s growth, he remains concerned about the company’s gross margins and looks for more consistency in beats on revenue and gross margins to become more constructive on the stock.
Given ongoing concerns, Wall Street has a Hold consensus rating on Super Micro Computer stock based on nine Holds, three Buys, and two Sells. The average SMCI stock price target of $34.82 indicates 5.4% upside potential.
Conclusion
Palantir has been growing at impressive rates, driven by demand for the company’s AI-powered solutions. Currently, Wall Street has a Moderate Buy consensus rating on PLTR and is sidelined on SMCI. Analysts see higher upside potential in Palantir stock and view the pullback as a buying opportunity.