Palantir Technologies(US:PLTR) The Motley Fool·2025-09-04 07:06Group 1: Duquesne Family Office's Investment Strategy - Duquesne Family Office, led by billionaire investor Stanley Druckenmiller, has exited its stake in Palantir Technologies, a prominent AI stock, and is focusing on another critical company in the AI sector [1][5][14] - The firm held nearly 770,000 shares of Palantir as of June 30, 2024, but completely sold its position by March 31, 2025 [6][8] - The average holding period for the 69 securities in Duquesne's portfolio is less than seven months, indicating a strategy of profit-taking after significant gains [9] Group 2: Palantir Technologies - Palantir Technologies is known for its AI and machine learning platforms, Gotham and Foundry, which have secured multiyear contracts with government entities and businesses [7] - Despite its strong performance, Palantir's price-to-sales (P/S) ratio is significantly high at 115, far exceeding historical norms for leading companies in emerging investment trends [11] - Since going public in September 2020, insiders have sold over $7.6 billion in stock, with only one insider purchase, raising concerns about the stock's attractiveness [12] Group 3: Broadcom's Investment Appeal - Duquesne has re-entered a position in Broadcom, purchasing over 86,000 shares worth approximately $24 million as of mid-2025 [15] - Broadcom's hardware is essential for AI development, connecting numerous graphics processing units in data centers to enhance compute capacity and reduce latency [17] - The company is projected to generate $60 billion to $90 billion in revenue from custom AI application-specific integrated circuits (ASICs) by 2027 [18] - Broadcom's diverse revenue streams from wireless chips, cybersecurity, and industrial solutions provide stability in case of an AI market downturn [19] - The valuation of Broadcom is attractive, with a forward price-to-earnings ratio of less than 20, while expected sales growth exceeds 20% annually [20]