Formidable Asset Management LLC bought a new stake in Arm Holdings PLC Sponsored ADR (NASDAQ:ARM – Free Report) during the third quarter, HoldingsChannel.com reports. The firm bought 6,376 shares of the company’s stock, valued at approximately $1,847,000.
A number of other hedge funds and other institutional investors have also recently bought and sold shares of ARM. Kings Path Partners LLC acquired a new position in ARM during the third quarter worth about $29,000. Evelyn Partners Investment Management Services Ltd acquired a new stake in shares of ARM in the 1st quarter valued at approximately $30,000. Allied Private Wealth LLC bought a new stake in shares of ARM during the 2nd quarter valued at approximately $71,000. CX Institutional bought a new stake in shares of ARM during the 3rd quarter valued at approximately $58,000. Finally, Cassaday & Co Wealth Management LLC acquired a new position in ARM during the 1st quarter worth approximately $40,000. Institutional investors own 7.53% of the company’s stock.
Analyst Upgrades and Downgrades
Several equities analysts recently commented on ARM shares. Guggenheim reissued a “buy” rating and issued a $255.00 price objective on shares of ARM in a research note on Thursday, July 30th. The Goldman Sachs Group reaffirmed a “sell” rating and set a $160.00 target price on shares of ARM in a research note on Thursday. New Street Research upgraded shares of ARM from a “neutral” rating to a “buy” rating and set a $260.00 price target for the company in a report on Thursday, July 30th. Royal Bank Of Canada dropped their price target on ARM from $340.00 to $300.00 and set an “outperform” rating for the company in a research note on Thursday. Finally, Barclays cut their price objective on ARM from $360.00 to $325.00 and set an “overweight” rating on the stock in a report on Thursday. Nineteen analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, ARM presently has a consensus rating of “Moderate Buy” and an average target price of $291.72.
Read Our Latest Stock Report on ARM
Trending Headlines about ARM
Here are the key news stories impacting ARM this week:
- Positive Sentiment: Arm reported fiscal Q2 revenue of $1.44 billion, ahead of estimates. Licensing revenue rose 50%, and data-center royalties doubled, highlighting demand for Arm technology in AI infrastructure. Arm Holdings’ Q2 Earnings Call Centers on AGI CPU Expansion
- Positive Sentiment: Arm’s push into its own AGI CPU could broaden its opportunity beyond chip-design royalties; management sees potential for up to $2 billion in revenue in fiscal 2027–28. Oracle has also said it plans to offer Arm AGI CPU instances in 2027. Arm Holdings’ Q2 Earnings Call Centers on AGI CPU Expansion
- Positive Sentiment: UBS and JPMorgan retained Buy/Overweight ratings despite cutting their price targets, indicating continued analyst confidence in potential upside. UBS analyst recommendations JPMorgan price target
- Neutral Sentiment: AI and data-center stocks faced market-wide pressure after midterm-election results raised concerns about a possible slowdown in data-center investment. Major indexes recovered some losses Friday, offering a more supportive backdrop, though uncertainty remains. Tech executives react to post-midterm AI sell-off
- Negative Sentiment: Investors focused on weaker smartphone-related royalties and concerns that handset demand may soften, offsetting Arm’s strong data-center growth. Royalty revenue is recurring, so slower growth here may temper expectations for future earnings. Weak smartphone royalties offset AI data-center growth
- Negative Sentiment: Valuation concerns amplified the post-earnings selloff: investors questioned whether Arm’s high expectations are justified even after the quarterly revenue beat. UBS cut its target from $320 to $270, and JPMorgan lowered its target from $255 to $245. Arm stock slides as results stoke valuation doubts
ARM Stock Up 4.7%
Shares of ARM stock opened at $174.62 on Friday. The stock has a market cap of $186.51 billion, a price-to-earnings ratio of 200.71, a P/E/G ratio of 5.10 and a beta of 3.93. Arm Holdings PLC Sponsored ADR has a twelve month low of $100.02 and a twelve month high of $452.70. The company’s fifty day moving average is $252.78 and its 200 day moving average is $229.93.
ARM (NASDAQ:ARM – Get Free Report) last announced its earnings results on Wednesday, November 4th. The company reported $0.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.48 by $0.04. The business had revenue of $1.44 billion during the quarter, compared to analyst estimates of $1.38 billion. ARM had a return on equity of 11.57% and a net margin of 17.13%. ARM’s revenue for the quarter was up 27.1% compared to the same quarter last year. During the same period last year, the company earned $0.39 EPS. As a group, equities analysts anticipate that Arm Holdings PLC Sponsored ADR will post 1.17 earnings per share for the current fiscal year.
Insider Buying and Selling at ARM
In other news, CFO Jason Child sold 10,400 shares of the stock in a transaction dated Monday, September 21st. The stock was sold at an average price of $300.00, for a total value of $3,120,000.00. Following the completion of the sale, the chief financial officer owned 153,442 shares of the company’s stock, valued at approximately $46,032,600. This represents a 6.35% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
ARM Company Profile
Arm Holdings plc designs and licenses semiconductor technology, including processor architectures and related intellectual property. Rather than manufacturing chips, the company licenses its designs and collects royalties on products that use them.
Arm’s offerings include Cortex CPUs, Mali graphics processors, Neoverse infrastructure platforms and other technology for applications ranging from smartphones and consumer electronics to automotive systems, the Internet of Things and cloud computing.
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