Goldman Sachs Favors Palantir Over Arista Networks in AI Stock Selection
Artificial intelligence remains a dominant force in the bull market, with 70% of U.S. businesses now leveraging AI according to GlobalData. The $41 billion U.S. AI market—the world's largest—continues to attract institutional interest as adoption accelerates.
Goldman Sachs analysts have identified Palantir (PLTR) as their preferred AI play, granting it a Buy rating while remaining neutral on Arista Networks (ANET). Both companies are deeply embedded in AI infrastructure, but Palantir's enterprise software solutions appear better positioned for the next phase of adoption.
The investment case hinges on Palantir's government contracts and commercial AI platforms, which are seeing rapid deployment across industries. Meanwhile, Arista's networking hardware faces competition despite its role in supporting AI data centers.
