Recent analyst updates include upgrades have been announced for Silvercorp Metals (SVM) and Datadog (DDOG), reflecting strong growth prospects and strategic business expansions. Conversely, downgrades for Kroger (KR) and Alphabet (GOOGL) indicate concerns around valuation and strategic priorities.
Upgrades
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Silvercorp Metals (SVM): Upgrade from Hold to Buy by Alberto Abaterusso. The analyst cites robust production growth, improved margins, and strategic diversification into copper as key drivers for the upgrade.
“SVM is on track to increase production and reduce production costs…With increased and more cost-effective production, the company will be better positioned to further improve its profit margin.”
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Datadog (DDOG): Upgrade to Buy by Gary Alexander. The analyst highlights Datadog’s strong growth trajectory driven by multiproduct sales and AI deals, along with a solid Rule of 50 profile justifying further upside.
“Datadog reported a strong Q3 beat-and-raise, which immediately prompted a 20%+ rally to ~$200: gains that were quickly reversed, even though the clear demand tailwinds that Datadog is showcasing appear to be well sustained. I view the volatile pullback as a great opportunity to buy Datadog as it looks to push higher, and I’m upgrading the stock to a “Buy” rating.”
Downgrades
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Kroger (KR): Downgrade from Buy to Hold by Luca Socci. The analyst expresses concerns over Kroger’s decision to prioritize share buybacks amid rising leverage and compressing profit margins.
“With guidance narrowed to the low end and multiples compressing…I am downgrading Kroger from buy to hold and suggest monitoring Kroger’s Q4 earnings to better understand how things are unfolding.”
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Alphabet (GOOGL): Downgrade from Very Bullish to Neutral by Steven Fiorillo. Despite strong financial performance, the analyst notes that GOOGL’s valuation now surpasses its peers, making further capital allocation less compelling.
“GOOGL is a great company, but it’s time to just hold its shares and reap the rewards of any further appreciation…the time to aggressively add to a position in GOOGL is well behind us.”