In an interview last week, JPMorgan Chase CEO Jamie Dimon waded into the debate regarding the advent of artificial intelligence (AI) and the potential applications of this groundbreaking technology. While some market watchers suggest there's simply too much hype around these next-generation algorithms, Dimon disagrees.
"When we had the internet bubble the first time around ... that was hype. This is not hype. It's real," Dimon told CNBC's Leslie Picker in an interview. He went even further, arguing that AI will eventually "be used in almost every job" and could even cure cancer, "because it can do things the human mind simply cannot do."
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One AI stock to buy if Dimon is right
One company that's been at the cutting edge of AI for more than two decades is Palantir Technologies (PLTR 3.73%). The company was initially envisioned as a way to dig through public and intelligence databases to make needed connections that would help detect potential terrorism and stop those responsible before they could mount an attack.
However, Palantir soon discovered that the same AI-powered data analytics -- if let loose on enterprise data -- could provide actionable intelligence that companies can use to gain an edge. Palantir's software can be customized for a variety of use cases, providing data analysis and visualization, detecting patterns in the data that might be missed by humans, and helping businesses make data-driven decisions.
The results are telling. In the fourth quarter, Palantir's revenue grew 20% year over year to $608 million, driven by U.S. commercial revenue that grew 70%. The company also logged its fifth consecutive quarter of generally accepted accounting principles (GAAP) profitability.
Most recently, Palantir developed its Artificial Intelligence Platform (AIP), a generative AI tool that integrates with Palantir's existing systems, providing feature-rich AI-powered functions in a system that "can be up and running in as little as a few hours," according to the company. As a result, Palantir's product pipeline is more robust than ever.
That highlights why Palantir is the one stock to buy as the adoption of generative AI gains steam.
