Group 1: Nvidia - Nvidia's stock has returned 2% year to date, with a median target price suggesting a 30% upside from its current price of $135 [1][7] - The company reported a 69% increase in revenue to $44 billion and a 33% increase in non-GAAP net income to $0.81 per diluted share for Q1 of fiscal 2026 [4] - Nvidia holds over 80% market share in data center GPUs and is well-positioned to capitalize on AI hardware demand, with a booming networking business [5][6] - Despite strong fundamentals, Nvidia faces challenges from semiconductor export restrictions, leading to a $4.5 billion write-down in inventory and an expected $8 billion revenue loss in Q2 [7][8] - Wall Street estimates a 44% increase in adjusted earnings for fiscal 2027, making the current valuation of 43 times earnings appear attractive [9] Group 2: Palantir Technologies - Palantir's stock has advanced 72% year to date, but Wall Street's median target price indicates a 23% downside from its current price of $130 [1][10] - The company reported a 39% increase in revenue to $884 million and a 62% increase in non-GAAP earnings to $0.13 per diluted share for Q1 [10] - Palantir's unique software architecture allows for nuanced data insights and operationalizes AI applications effectively, recognized as a leader in decision intelligence software [11][12] - The stock trades at a high valuation of 285 times adjusted earnings, with earnings expected to grow only 26% this year, raising concerns about its price [13] - While Palantir is considered an excellent company, the current risk-reward profile is skewed towards risk, suggesting potential investors should wait for a better entry point [14]