Alexander Haissl, an analyst at Rothschild & Co Redburn, has downgraded the stock ratings of both Microsoft and Amazon. This marks the first time since he started monitoring these two stocks in June 2022 that he has shifted his recommendation from a 'buy' to a 'neutral' stance. Haissl expresses concerns that the future of generative artificial intelligence (AI) is now uncertain, and advises adopting a more cautious attitude towards hyperscale data center operators.
Consequently, the stock prices of both tech giants dropped by over 2%. Additionally, Haissl adjusted Microsoft's target stock price downward from $560 to $500, while maintaining Amazon's target stock price at $250.
