Analysts have taken a positive stance on AppLovin (APP) and Nvidia (NVDA), with upgrades focusing on strong revenue growth and competitive positioning. Meanwhile, concerns over valuation and sector competition have led to downgrades for Marvell Technology (MRVL) and FedEx (FDX).
Upgrades
-
Nvidia (NVDA): Upgrade to Outperform by Chetan Woodun. The analyst credits Nvidia’s strong position in the AI hardware space despite emerging competition and affirms its capacity for sustained growth.
“GPU (graphics processing unit) depreciation fears seem unjustified, and I start by showing that while Google’s progress is significant, Nvidia’s moat is likely to remain mostly intact.”
-
AppLovin (APP): Upgrade to Buy by Jack Elias. The analyst cites recent share declines as a buying opportunity, bolstered by strong Q3 results and the potential of the Ads Manager platform.
“I am changing my stance and upgrading AppLovin to a BUY rating, as I believe the pullback presents a buying opportunity for investors.”
Downgrades
-
Marvell Technology (MRVL): Downgrade to Sell by Tech Stock Pros. The analyst points to valuation concerns and competitive pressures in the ASIC market, particularly when compared to Broadcom.
“Our concern about Marvell has been that expectations are higher than attainable based on the fundamentals. We think expectations are more balanced after the November tech correction. Having said that, we think Marvell is not attractive at $90 per share heading into print, about 29% away from its all-time high of $127, particularly as valuation remains high.”
-
FedEx Corporation (FDX): Downgrade from Buy to Hold by Daniel Javier. Despite strong fundamentals, the analyst highlights valuation concerns and emerging downside risks due to market volatility.
“Considering the current market dynamics, it may take a long time for FDX to reach the 2022 level again. On top of that, it must also watch out for increased costs of operations for FDX. The consolidation is that FDX appears to be prudent with its management of its less-than-truckloads, or LTLs, aircraft, and other vehicles.”