Copyright fool
Artificial intelligence leader Palantir Technologies (PLTR 6.26%) had a rough time after Michael Burry, the famous investor known for successfully shorting stocks, disclosed a bet against the stock recently. That sent the shares of Palantir down almost 10%. But that doesn't change the fact that Palantir has been one of the best-performing stocks in the S&P 500 index over the past few years. And, in fact, it was the top performer in that index of large-cap companies last year, with a 340.5% return. And over the past five years, Palantir's return has been an astounding 1,695% through market close Nov. 4. Needless to say, that return absolutely crushed the S&P 500's, which climbed about 97% in those five years. Quite a climb So, if you had invested $100 in Palantir five years ago on Nov. 4, 2020, when the stock traded at about $16 a share, today your shares would be worth around $1,750. It's not a fortune, but remember that your initial investment was modest. That return is due purely to capital appreciation, as Palantir doesn't pay dividends. And it probably shouldn't. Instead, the company chooses to expand the business, as it stated in a 2020 filing with the Securities and Exchange Commission. That strategy has paid off for Palantir shareholders in a big way over the past five years.
