Recent analyst actions have resulted in attention on companies like Grab Holdings (GRAB) and Veeva Systems (VEEV), driven by significant progress in their business segments. On the other hand, concerns over valuation and competitive pressure have led to downgrades for Intel and Advanced Micro Devices (AMD).
Upgrades
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Grab Holdings (GRAB): Upgrade Hold to Cautious Buy by The Alpha Analyst. The analyst notes improved fintech progress and balanced growth across multiple segments, though caution is advised due to persistent competitive pressures.
“I feel GRAB deserves an upgrade. This is because the July geopolitical environment was very cautious. The impact of tariffs on global businesses was unknown, and currency effects were also more speculative. That has not really cleared up, but the direction and magnitude of these repercussions have emerged. Valuations are still premium, but FCF improvements make it look slightly cheaper today.”
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Veeva Systems (VEEV): Upgrade to Buy by Mario Silva. The upgrade is influenced by Veeva’s strong revenue and EPS growth, with potential for long-term opportunities despite short-term volatility.
“Under Veeva Vault CRM, further innovative services can be developed, including a more sophisticated Veeva AI… Once this hard process of migration ends, Veeva will work from a strong and very innovative platform that will reinforce Veeva’s moat and its ability to set higher prices for its services.”
Downgrades
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Intel (INTC): Downgrade Buy to Hold by Motti Sapir. The analyst points to Intel’s slow recovery and potential overvaluation amid intense competition and execution risks.
“Chips are a hot market, especially when it comes to AI, but for Intel, things aren’t as simple as just growing fast… The biggest question for Intel is whether big U.S. and European tech customers will actually give Intel enough chip-making business in the next few years to make all this spending worth it. If not, all this new equipment and investment could just weigh the company down.”
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Advanced Micro Devices (AMD): Downgrade Hold to Sell by Paul Franke. Concerns over extreme overvaluation and deteriorating momentum indicators, with a significant risk of price decline, drive this downgrade.
“I am just not willing to own a stock that is counting on extraordinary growth to justify its valuation. Still, if the AI-boom does continue for a number of years, AMD investors buying in the low $200s may earn some money. However, the odds of a wipeout in price are extraordinarily high, assuming the global economy slows and AI-chip competition heats up.”