ARM (NASDAQ:ARM) Shares Climb 2.5% – Should You Buy?

Posted by Geri Gentry on Oct 21st, 2026

Arm Holdings PLC Sponsored ADR (NASDAQ:ARM – Get Free Report) rose 2.5% during mid-day trading on Wednesday. The stock traded as high as $228.95 and last traded at $226.59. Approximately 3,228,613 shares traded hands during trading, a decline of 57% from the average session volume of 7,543,818 shares. The stock had previously closed at $221.06.

Analysts Set New Price Targets

ARM has been the topic of a number of analyst reports. Benchmark assumed coverage on ARM in a research note on Thursday, July 16th. They issued a “hold” rating on the stock. Weiss Ratings reaffirmed a “hold (c)” rating on shares of ARM in a report on Thursday, October 15th. KeyCorp increased their price objective on ARM from $300.00 to $430.00 and gave the stock an “overweight” rating in a research report on Tuesday, July 14th. Raymond James Financial reissued an “outperform” rating and issued a $166.00 target price on shares of ARM in a report on Tuesday, August 25th. Finally, Morgan Stanley raised their target price on ARM from $202.00 to $212.00 and gave the company an “equal weight” rating in a report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $303.32.

Get Our Latest Report on ARM

ARM Trading Up 2.5%

The company has a market capitalization of $242.02 billion, a price-to-earnings ratio of 233.60, a PEG ratio of 6.76 and a beta of 3.78. The company’s 50 day simple moving average is $265.51 and its 200-day simple moving average is $271.26.

ARM (NASDAQ:ARM – Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The company reported $0.45 EPS for the quarter, beating the consensus estimate of $0.40 by $0.05. The company had revenue of $1.29 billion during the quarter, compared to analysts’ expectations of $1.26 billion. ARM had a return on equity of 12.24% and a net margin of 20.25%. The firm’s revenue was up 22.4% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.35 EPS. Sell-side analysts anticipate that Arm Holdings PLC Sponsored ADR will post 1.15 EPS for the current year.

Insider Activity at ARM

In other news, CFO Jason Child sold 10,400 shares of ARM stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $300.00, for a total transaction of $3,120,000.00. Following the sale, the chief financial officer owned 153,442 shares in the company, valued at $46,032,600. This trade represents a 6.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Hedge Funds Weigh In On ARM

A number of institutional investors have recently made changes to their positions in ARM. Syntax Research Inc. bought a new position in shares of ARM in the first quarter worth about $30,000. Evelyn Partners Investment Management Services Ltd bought a new stake in ARM during the 1st quarter valued at approximately $30,000. Allied Private Wealth LLC bought a new stake in ARM during the 2nd quarter valued at approximately $71,000. CX Institutional bought a new stake in ARM during the 3rd quarter valued at approximately $58,000. Finally, Cassaday & Co Wealth Management LLC acquired a new stake in ARM in the 1st quarter valued at approximately $40,000. 7.53% of the stock is owned by institutional investors and hedge funds.

About ARM

(Get Free Report)

Arm Holdings plc (NASDAQ: ARM) is a semiconductor and software design company that develops central processing unit (CPU) architectures and related intellectual property. Rather than manufacturing chips itself, Arm licenses its designs and instruction-set architectures to semiconductor companies and technology manufacturers, which incorporate them into their own products.

The company’s offerings include CPU processor cores, graphics processing units through its Mali product family, system IP, development tools and software.