SA analyst upgrades/downgrades: INTC, GS, HIMS, SHEL

A handful of prominent companies on Wall Street have seen some Seeking Alpha analyst activity, including both upgrades and downgrades. Among the group is Hims & Hers (NYSE:HIMS) and Shell (NYSE:SHEL), with opposing perspectives on growth potential and regulatory challenges shaping their ratings. Simple Investment Ideas downgraded HIMS following Novo Nordisk’s abrupt termination of their Wegovy partnership, while Manika Premsingh lowered her rating on SHEL due to a weak oil price outlook and LNG production concerns. Meanwhile, Rob Isbitts presents nuanced views on Goldman Sachs (NYSE:GS) and Intel (NASDAQ:INTC), emphasizing risk management strategies amid market volatility and highlighting the potential for INTC’s long-term recovery.

Upgrades

• Intel Corporation (NASDAQ:INTC): Upgrade to Buy by Sungarden Investment Publishing. Despite ongoing volatility, Isbitts identifies INTC’s improved profitability and valuation grades as indicators of potential long-term recovery, recommending a risk-managed approach through option collars.

  “Profitability is the main one I look at. If I’m going to try to own a stock in this environment, I want to do all I can to avoid the potential it breaks down fundamentally… INTC at a B rating now, up from D just 3 months ago, is a very good sign to me… This is how to take risk out of taking risk. And in today’s market climate, this is simply how I roll with my stock positions.”

• The Goldman Sachs Group, Inc. (NYSE:GS): Upgrade to Hold by Sungarden Investment Publishing. Despite the company’s fundamentally solid position, Isbitts emphasizes the need for risk management strategies amid high volatility rather than relying on traditional ratings.

  “No rating on a stock is complete without at least 2 secondary factors included. How much am I willing to let this stock drop before I conclude I’ve misjudged it? Basic risk management… I rate GS stock as a Hold for reporting purposes, but urge investors to focus on methodology and risk controls, not Wall Street’s rating game.”

Downgrades

• Hims & Hers Health, Inc. (NYSE:HIMS): Downgrade to Hold by Simple Investment Ideas. The analyst cites Novo Nordisk’s termination of their Wegovy distribution agreement and subsequent regulatory scrutiny as major challenges to the company’s weight-loss growth narrative.

  “Novo Nordisk’s swift termination of the Wegovy arrangement exposes the fragility of Hims’ weight-loss narrative. Novo not only withdrew supply but publicly alleged illegitimate compounding, inviting closer FDA scrutiny at a moment when regulators have already tightened the rules around mass-produced GLP-1 copies… Despite enviable top-line velocity and a cash-funded European expansion, the stock deserves only a neutral rating until the GLP-1 overhang lifts.”

• Shell plc (NYSE:SHEL): Downgrade to Hold by Manika Premsingh. The analyst points to a weak oil price outlook, a pullback in LNG production, and worse-than-expected Q1 2025 sales as key factors behind the rating change.

  “It’s possible that SHEL can continue to rise in the next months in any case, but the lack of clarity on what’s next limits the fundamental basis for justifying a Buy rating right now. However, for investors with at least 3-5 year time horizon in mind along with a goal of passive income only, the stock can still be a good buy.”