Just an additional note here. it *seemed* to coincide with the 24H2 rollout as well. The host CPU performance seemed to tank as people got that update.
We have experienced the same issue with "host" CPU type. I'd have to look back at my upgrade dates, but I think coincides with one of the 8.2.X upgrades (and possibly 24H2). Windows 11 Pro VMs were becoming unusable in cases until the CPU type...