Edge AI demand and earnings strength drive upgrades for Sandisk and IBM, while Micron faces downgrades due to oversupply concerns.
Analysts upgraded Sandisk (SNDK) and IBM (IBM) citing strong demand for edge AI and consistent earnings performance. Sandisk is expected to benefit from robust revenue growth driven by local storage needs, while IBM’s top and bottom line beats support potential multiple expansion.
Micron Technology (MU) was downgraded as rising supply, competitor capacity increases, and normalized prices threaten its elevated earnings. Analysts believe current valuations already reflect AI-driven demand, leaving little room for upside.
The moves reflect shifting expectations around AI-driven growth and supply chain dynamics in the semiconductor and tech sectors.