ARM (NASDAQ:ARM) Trading 2.8% Higher – Still a Buy?

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM)’s share price was up 2.8% during mid-day trading on Monday . The company traded as high as $346.15 and last traded at $343.58. 8,343,041 shares changed hands during trading, a decline of 8% from the average session volume of 9,029,826 shares. The stock had previously closed at $334.27.

Analyst Ratings Changes

Several equities research analysts have recently commented on ARM shares. Needham & Company LLC reiterated a “buy” rating and set a $400.00 price objective on shares of ARM in a research note on Tuesday, June 16th. Sanford C. Bernstein set a $500.00 target price on ARM in a research report on Wednesday, June 17th. Bank of America raised their target price on ARM from $335.00 to $460.00 and gave the stock a “neutral” rating in a research note on Tuesday, June 23rd. Raymond James Financial reaffirmed an “outperform” rating on shares of ARM in a research report on Thursday, May 7th. Finally, Guggenheim boosted their price target on ARM from $240.00 to $255.00 and gave the company a “buy” rating in a research note on Thursday, May 7th. Nineteen investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, ARM presently has an average rating of “Moderate Buy” and a consensus price target of $279.83.

ARM Stock Performance

The firm’s 50 day simple moving average is $291.90 and its 200 day simple moving average is $183.36. The firm has a market capitalization of $366.97 billion, a price-to-earnings ratio of 409.02, a PEG ratio of 12.14 and a beta of 3.77.

ARM (NASDAQ:ARM) last released its quarterly earnings data on Wednesday, April 1st. The company reported $0.60 earnings per share for the quarter. ARM had a net margin of 18.37% and a return on equity of 12.43%. The firm had revenue of $1.49 billion for the quarter. As a group, sell-side analysts forecast that ARM Holdings PLC Sponsored ADR will post 1.12 earnings per share for the current year.

Insider Buying and Selling

In other news, insider William Abbey sold 6,566 shares of the business’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $402.72, for a total value of $2,644,259.52. Following the completion of the transaction, the insider owned 20,563 shares of the company’s stock, valued at $8,281,131.36. The trade was a 24.20% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Charlotte Claire Eaton sold 4,000 shares of the company’s stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $282.77, for a total value of $1,131,080.00. Following the completion of the sale, the insider owned 7,805 shares in the company, valued at $2,207,019.85. The trade was a 33.88% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 248,205 shares of company stock valued at $57,741,572 over the last quarter.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of ARM. Amundi boosted its position in ARM by 24.8% in the 1st quarter. Amundi now owns 11,804 shares of the company’s stock worth $1,153,000 after purchasing an additional 2,345 shares in the last quarter. Empowered Funds LLC increased its holdings in shares of ARM by 28.8% during the 1st quarter. Empowered Funds LLC now owns 4,887 shares of the company’s stock valued at $522,000 after purchasing an additional 1,094 shares in the last quarter. Schnieders Capital Management LLC. lifted its stake in shares of ARM by 9.0% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,430 shares of the company’s stock valued at $393,000 after purchasing an additional 200 shares during the period. Bank of Nova Scotia acquired a new position in shares of ARM in the 2nd quarter valued at $556,000. Finally, State Street Corp boosted its holdings in ARM by 14.7% during the second quarter. State Street Corp now owns 441,445 shares of the company’s stock worth $71,399,000 after buying an additional 56,656 shares in the last quarter. 7.53% of the stock is currently owned by hedge funds and other institutional investors.

About ARM

Arm Limited (NASDAQ: ARM) is a global semiconductor IP company best known for designing energy-efficient processor architectures and related technologies that underpin a wide range of computing devices. Founded in 1990 as a joint venture between Acorn Computers, Apple and VLSI Technology and headquartered in Cambridge, England, Arm develops the ARM instruction set architectures and core processor designs that chipmakers license and integrate into custom system-on-chip (SoC) products. The company operates a licensing and royalty business model rather than manufacturing chips itself.

Arm’s product portfolio includes CPU core families (such as Cortex and Neoverse lines), GPU and multimedia IP (Mali), neural processing units (Ethos) and a suite of system and physical IP blocks.