Image Source: UnsplashWith less than two months left to go in 2023, the technology-heavy Nasdaq Composite has been the top performer of the major US indexes by a wide margin, soaring 31% year-to-date. The ongoing tech rally has been fueled by investor optimism that the Federal Reserve’s rate-hike cycle is all but over. Taking that into consideration, I recommend buying shares of Palantir (PLTR), writes Jesse Cohen, senior financial analyst at Investing.com.PLTR is up 204% year-to-date and has a market capitalization of approximately $44.5 billion. The shares look set to extend their powerful rally in the weeks ahead as investors dial back expectations for future rate hikes and the economy continues to undergo a sea of change of digitization.The data-mining specialist delivered an ‘earnings triple play’ recently, delivering profit, sales growth, and guidance which all exceeded consensus expectations thanks to soaring demand for its new artificial intelligence platform.Palantir posted adjusted earnings per share of 7 cents, up 600% from EPS of 1 cent in the year-ago period. The company’s third-quarter results mark its fourth-straight quarter of profitability, making it eligible for inclusion in the S&P 500.Revenue jumped 17% year-over-year to $558.2 million as it benefited from robust demand for its data analytics tools and services from both government and commercial clients amid the current geopolitical environment.Source: InvestingProCEO Alex Karp said in a letter to shareholders that the strength is attributable to “growing demand” for the company’s recently launched generative AI platform, which it calls AIP.“Companies across industries in the United States are scrambling to deploy software platforms that will allow them to leverage the power of the latest large language models,” Karp wrote in the letter. “And we have built what they need.”For the fourth quarter, Palantir is projecting revenue of $599 million to $603 million, at the middle of the range and just slightly above the Street consensus at $600 million. The company expects to again be GAAP profitable in the quarter.Notwithstanding the recent turnaround, the stock still trades well below the software maker’s all-time intraday high of $45 set in late January 2021. My recommended action would be to consider buying shares of PLTR.

About the Author
Jesse Cohen is a senior financial analyst at Investing.com, where he provides in-depth analysis and insights on the U.S. stock market, with a focus on high-growth technology stocks. Mr. Cohen grew up in Fair Lawn, NJ as the oldest of three siblings. He has a BA in finance from Temple University.Currently a resident of Tel Aviv, Israel, Mr. Cohen joined Investing.com in August 2010, and has since published hundreds of analysis articles in which he provides timely stock picks on a consistent basis. He has also been quoted and featured in well-known financial media outlets, such as Reuters, the Wall Street Journal, Business Insider, and Newsweek. Other publications that have quoted him include: the New York Times, USA Today, the Guardian, Forbes, the San Jose Mercury News, and many more.When not covering the markets and watching charts, Mr. Cohen enjoys spending time with his three children. He also has two dogs, which at times keep him even busier than the kids.More By This Author:TLT And QQQ: My Thoughts On Treasuries And Tech Stocks Amid Wild VolatilityURA: An ETF Offering Exposure To The New Bull Market In UraniumWith Interest Rates Easing, Will Stocks Rally Into Year End?