Alibaba (BABA) Rides the AI Wave with Massive Gains
Alibaba shares have been on a tear in 2025, soaring nearly 70% year-to-date, fueled by the company’s new AI model that reportedly surpasses DeepSeek. This bullish momentum comes on the heels of Alibaba’s impressive earnings growth, which has made the stock a Zacks Rank #1 (Strong Buy).
The Chinese tech giant has maintained triple-digit year-over-year growth in AI-related product revenue for six consecutive quarters, highlighting its dominance in the space. With a consistently improving EPS outlook and accelerating sales growth, Alibaba’s recent performance marks a strong comeback following years of negative price action.
Palantir (PLTR) Delivers Explosive Growth and Record-Setting Contracts
Palantir has also been making waves with its latest earnings, beating expectations and showcasing remarkable growth. The company reported $828 million in sales, representing a 36% year-over-year increase and a 14% sequential rise.
Palantir’s customer count surged 43%, reflecting surging demand for its AI-driven solutions. Additionally, the company closed a record $803 million in U.S. commercial total contract value (TCV)—an astonishing 130% year-over-year and 170% sequential increase. With government and commercial revenue climbing by 45% and 64%, respectively, Palantir’s outlook remains bright, earning it a Zacks Rank #2 (Buy).
Vertiv (VRT) Powers Up with Soaring Sales and Upgraded Guidance
Vertiv has maintained its stellar growth trajectory with another quarter of outstanding results. The company’s EPS jumped 77%, driven by 26% year-over-year sales growth.
On the back of its strong performance, Vertiv raised its full-year 2025 sales guidance, with the new midpoint reflecting approximately 16% growth compared to the previous year. Consistent upward revisions in sales estimates over the past year underscore the company’s continued momentum in the AI infrastructure space.
AI-Driven Momentum Fuels Stock Market Gains
Alibaba, Palantir, and Vertiv have emerged as major beneficiaries of the AI revolution in 2025. With robust sales growth, record contract values, and expanding AI revenue streams, these companies are capturing the market’s attention and delivering substantial shareholder value.
