Fears of an artificial intelligence (AI) bubble have weighed on investor sentiment in recent trading sessions. Despite concerns about lofty valuations, Wall Street remains bullish on several AI stocks, which are backed by strong growth rates and attractive deals to bolster their position. Using TipRanks’ Stock Comparison Tool, we placed Vertiv Holdings (VRT), Palantir Technologies (PLTR), and Nebius (NBIS) against each other to find the AI stock with the highest upside potential, according to Wall Street analysts.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Vertiv Holdings (NYSE:VRT) Stock
Vertiv offers power, cooling, and IT infrastructure solutions and services to data centers, communication networks, and commercial and industrial facilities. The company reported better-than-expected Q3 results, driven by strength in its Americas and Asia Pacific businesses.
Despite tariff pressures and weakness in the Europe, the Middle East, and Africa (EMEA) segment, Vertiv raised its full-year guidance, supported by its solid backlog and continued momentum in the AI infrastructure market. Meanwhile, the company continues to make strategic acquisitions to bolster its business. Earlier this month, Vertiv announced the acquisition of Purge Rite, a provider of specialized fluid management services, to expand its liquid cooling services portfolio.
What Is the Price Target for VRT Stock?
Following the Q3 print, Evercore analyst Amit Daryanani increased the price target for Vertiv stock to $210 from $200 and reiterated a Buy rating. The 5-star analyst noted the “impressive” Q3 results, with 28% organic revenue growth. Daryanani thinks that the subdued post-earnings stock movement was due to the “flattish” Q4 EBIT (earnings before interest and taxes) margin outlook and weakness in the EMEA region. He explained that EBIT margin guidance was impacted by higher tariff costs and higher fixed costs as Vertiv pulled forward capex investments from early 2026 to December 2025.
Nonetheless, Daryanani believes that Vertiv remains well positioned to deliver revenue acceleration in 2026, in contrast to the 10 basis points of deceleration expected by the Street. The analyst was also impressed by the 60% growth in Q3 orders, driven by strong AI data center engagements and a backlog of $9.5 billion. Daryanani also noted that Vertiv expects acceleration in its EMEA business in the second half of 2026, backed by the deployment of AI inferencing infrastructure.
With 15 Buys and two Hold recommendations, Vertiv Holdings stock scores a Strong Buy consensus rating. The average VRT stock price target of $199.75 indicates 18.3% upside potential. VRT stock has risen 49% year-to-date.
Palantir Technologies (NASDAQ:PLTR) Stock
AI-powered data analytics company Palantir Technologies delivered strong Q3 results and issued robust fourth-quarter guidance. However, valuation concerns dragged down PLTR stock following the results. Despite the 5.3% pullback over the past five trading sessions, Palantir stock is still up more than 114% year-to-date.
The company reported a 63% rise in its Q3 revenue to $1.18 billion, with its Artificial Intelligence Platform (AIP) offering seeing strong demand across its Government and Commercial businesses. Palantir increased its full-year guidance to reflect continued adoption of its AI offerings. Despite the impressive growth trajectory, PLTR stock’s valuation remains a major concern. PLTR stock is trading at a forward price-to-earnings (P/E) multiple (based on adjusted earnings) of 213.9x, compared to the sector average multiple of 22.5x.
Is PLTR Stock a Buy, Hold, or Sell?
In reaction to Q3 results, Goldman Sachs analyst Gabriela Borges increased the price target for Palantir stock to $188 from $141 and reaffirmed a Hold rating. The 4-star analyst noted that the muted post-earnings reaction to PLTR’s Q3 results was due to elevated expectations and the stock’s robust year-to-date rally. Borges highlighted that PLTR is securing a significant share of customers’ wallets, as reflected in increased deal sizes and revenue per customer. This growth is supported by companies that are moving from experimentation to enterprise-wide AIP deployments.
While Borges continues to expect Palantir to win a massive share of customer AIP deployments, her optimism is offset by longer-term ecosystem risks and the stock’s steep valuation.
Currently, Wall Street has a Hold consensus rating on Palantir Technologies stock based on 11 Holds, three Buys, and two Sell recommendations. At $187.87, the average PLTR stock price target indicates 15.8% upside potential.
Nebius Group (NASDAQ:NBIS) Stock
Another AI play that is gaining investors’ attention is Nebius, which is backed by chip giant Nvidia (NVDA). With large-scale graphics processing unit (GPU) clusters deployed across Europe and the U.S., the company offers a full-stack cloud platform. Nebius’ solid Q3 revenue growth of 355%, the $17.4 billion GPU-as-a-Service (GPUaaS) contract with Microsoft (MSFT), and the $3 billion deal with social media giant Meta Platforms (META) have boosted investor sentiment about the AI infrastructure company.
The company recently announced its Q3 results and stated that it sold out all of its available capacity in the quarter, reflecting solid business momentum. Nebius is focused on aggressively boosting its capacity to support the recently announced large deals. It is working to secure additional sites to increase its total contracted power to about 2.5 GW by the end of 2026, up from its previous plan of 1 GW.
Is NBIS a Good Stock to Buy?
Recently, Citizens JMP analyst Gregory Miller initiated coverage of Nebius stock with a price target of $175. Citizens JMP assigned Buy ratings to five companies that started as Bitcoin (BTC-USD) miners, stating that they now provide “critically scarce” power supply for high-performance compute and AI.
Citing the recent deals with Microsoft and Meta Platforms, Miller noted that these collaborations reflect Nebius’ ability to be a major provider of AI-based services for many types of businesses, not just for large-scale clients. The 4-star analyst also believes that these deals with tech giants suggest that Nebius’ ties with Russia are considered to be “sufficiently cut for security purposes.”
Currently, Wall Street has a Strong Buy consensus rating on Nebius Group stock based on five Buys and one Hold recommendation. The average NBIS stock price target of $164.20 indicates 78.7% upside potential. NBIS stock has rallied by an impressive 232% year-to-date.
Conclusion
Despite fears of an AI bubble, Wall Street remains bullish on Vertiv Holdings and Nebius stocks, but is cautious on Palantir. Currently, analysts see higher upside potential in Nebius stock than in the other two AI plays. Analysts’ bullish thesis on Nebius stock is based on solid demand for AI infrastructure and the company’s recent deals with Microsoft and Meta Platforms.