In the recent Seeking Alpha analyst actions, Advanced Micro Devices (NASDAQ:AMD) and Procter & Gamble (NYSE:PG) have received upgrades, reflecting optimistic forecasts despite the challenges each company faces in their respective industries. Conversely, General Mills (NYSE:GIS) and Exelixis (NASDAQ:EXEL) have been downgraded due to strategic and operational concerns. These updates provide a clear view of evolving market dynamics and investor considerations.
Upgrades
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Advanced Micro Devices, Inc. (NASDAQ:AMD): Upgrade to Positive by Joe Albano. The analyst highlights the potential of AMD’s strategic partnership with OpenAI as a catalyst for significant growth, suggesting that if well-executed, it could elevate AMD’s standing in the AI sector to rival Nvidia.
“Overall, AMD has found a way to enter the AI race at a higher level, but the revenue I expect it to get from it is not only spread across many years but is going to hit in a big way once deployed. This is AMD’s time to shine and prove it can be more than a default second place.”
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Procter & Gamble Co. (NYSE:PG): Upgrade to Positive by The Alpha Sieve. The analyst believes that despite recent underperformance, PG presents an attractive investment opportunity due to its robust dividend yield, strategic cost management, and potential recovery in key markets like China.
“PG hasn’t been catching the fancy of momentum players for a while now, as it is trading below its key daily moving averages of 50, 100 and 200 DMA. However, we don’t feel a long position now would be the worst idea, given the risk-reward on offer.”
Downgrades
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Exelixis, Inc. (NASDAQ:EXEL): Downgrade to Hold by Biotech Beast. The downgrade reflects concerns over Exelixis’ recent trial results that, while positive, may not meet investor expectations for significant efficacy, alongside a challenging competitive landscape.
“The difference between the combination and the control arm could’ve been larger, and the side-effect profile isn’t ideal… I have less belief in the drug than I did with my previous article, and… a sell rating might be based around disappointing results from STELLAR-304.”
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General Mills, Inc. (NYSE:GIS): Downgrade to Hold by Vladimir Dimitrov, CFA. The analyst cites strategic missteps in capital allocation and declining operational performance as key reasons for the downgrade, with the company facing a challenging recovery path.
“GIS capital allocation problems are not comparable to those of KHC and SJM, and the extremely low multiple is already pricing in significant headwinds going forward. … Therefore, a ‘Hold’ rating seems justified at this point, until GIS management can prove that corrective measures will be taken.”