GE Aerospace (GE) receives a rating upgrade from Dhierin Bechai, who argues that valuation concerns based on P/E ratios are misleading, while Amgen (AMGN) earns a Buy rating from Edmund Ingham on the strength of its MariTide obesity drug potential. On the downgrade side, Deep Value Investing moves Microsoft (MSFT) to Hold ahead of earnings amid cloud margin pressures, and Analysis Fundamental downgrades Super Micro Computer (SMCI) to Hold citing persistent shipment delays and low profit margins.
Upgrades
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GE Aerospace (GE): Upgrade Hold to Buy by Dhierin Bechai. The analyst corrected his valuation methodology, shifting from a conglomerate-era multiple to one reflecting GE Aerospace’s current business structure, revealing an 11% upside with a $346.31 price target.
“When we look at GE Aerospace’s valuation, we see that the stock is currently fairly valued with 2027 earnings in mind using the EV/EBITDA for the peer group. That makes sense, as I believe the market should be forward-looking.”
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Amgen (AMGN): Upgrade Hold to Buy by Edmund Ingham. The analyst cites the transformative potential of Amgen’s obesity drug candidate MariTide alongside robust pipeline prospects and a healthy 2.9% dividend yield.
“If we remove Mari-Tide from the equation entirely, Amgen appears to be a fairly valued company, its P/E and P/S ratios about standard for the sector, its patent expiry woes offset by the strong performance of recently approved assets and pipeline prospects. … If we add the ‘MariTide factor,’ there is an opportunity for a major valuation / share price upward correction if data are positive and support approval.”
Downgrades
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Microsoft (MSFT): Downgrade Buy to Hold by Deep Value Investing. The analyst expresses concern about declining cloud gross margins and believes increased CapEx guidance is no longer viewed positively by the market ahead of FQ2 2026 earnings.
“With Cloud gross margins pressured (68% last quarter, guided to 66% in FQ2) and CapEx still ramping up, I see the risk of a cautionary margin guide for FQ3. I no longer believe that a hike in CapEx guidance is positive for the hyperscalers. … Unless management puts out a spectacular FQ3 growth guidance for Azure, back to 40% YOY, I don’t see shares recovering from the recent selloff.”
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Super Micro Computer, Inc. (SMCI): Downgrade Buy to Hold by Analysis Fundamental. The analyst highlights persistent shipment delays, a volatile operational model, and weak pricing power as key concerns despite strong AI infrastructure demand.
“Growth catalysts of advanced cooling systems, partnership with NVDA, reduced time-to-market via DCBBS solutions and global expansion, still can’t overcome the company’s low margins and volatile operational model. … I downgrade SMCI stock to Hold, mainly due to the persistence of shipment delays and generally its volatile operational model. Additionally, I would like to see higher margins before initiating a position.”