ARM (NASDAQ:ARM) Stock Price Up 4.4% – Here’s What Happened

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM)’s share price shot up 4.4% during mid-day trading on Thursday . The company traded as high as $295.57 and last traded at $286.68. Approximately 4,355,217 shares were traded during trading, a decline of 49% from the average daily volume of 8,529,784 shares. The stock had previously closed at $274.58.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the stock. Morgan Stanley raised their price objective on shares of ARM from $202.00 to $212.00 and gave the company an “equal weight” rating in a research report on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating on shares of ARM in a research report on Thursday, May 7th. Royal Bank Of Canada cut their target price on ARM from $475.00 to $340.00 and set an “outperform” rating for the company in a research note on Thursday, July 30th. TD Cowen reduced their price target on ARM from $475.00 to $350.00 and set a “buy” rating for the company in a report on Thursday, July 30th. Finally, UBS Group decreased their price target on ARM from $360.00 to $320.00 and set a “buy” rating on the stock in a research note on Thursday, July 30th. Eighteen analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, ARM has an average rating of “Moderate Buy” and a consensus price target of $285.33.

ARM Price Performance

The stock has a market cap of $301.81 billion, a price-to-earnings ratio of 291.31, a PEG ratio of 8.50 and a beta of 3.90. The company’s 50 day moving average is $323.52 and its 200 day moving average is $218.70.

ARM (NASDAQ:ARM) last issued its earnings results on Wednesday, July 29th. The company reported $0.45 earnings per share for the quarter, topping the consensus estimate of $0.40 by $0.05. ARM had a net margin of 20.25% and a return on equity of 12.24%. The company had revenue of $1.29 billion for the quarter, compared to analyst estimates of $1.26 billion. During the same period in the prior year, the business posted $0.35 earnings per share. The firm’s revenue for the quarter was up 22.4% compared to the same quarter last year. ARM has set its Q2 2027 guidance at 0.430-0.510 EPS. Sell-side analysts predict that ARM Holdings PLC Sponsored ADR will post 1.15 earnings per share for the current year.

Insider Transactions at ARM

In related news, insider Charlotte Claire Eaton sold 7,805 shares of the company’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $290.01, for a total value of $2,263,528.05. Following the sale, the insider owned 5,000 shares in the company, valued at $1,450,050. This represents a 60.95% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider William Abbey sold 6,566 shares of the firm’s stock in a transaction that occurred on Monday, June 1st. The shares were 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 directly owned 20,563 shares of the company’s stock, valued at $8,281,131.36. The trade was a 24.20% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 216,049 shares of company stock worth $52,101,605 over the last quarter.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in ARM. Rathbones Group PLC grew its holdings in ARM by 4,638.8% in the fourth quarter. Rathbones Group PLC now owns 500,043 shares of the company’s stock valued at $54,660,000 after purchasing an additional 489,491 shares during the period. Paragon Capital Management Inc. purchased a new position in ARM during the fourth quarter worth approximately $826,000. Zurcher Kantonalbank Zurich Cantonalbank boosted its holdings in shares of ARM by 34.7% in the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 24,188 shares of the company’s stock valued at $2,644,000 after purchasing an additional 6,232 shares during the last quarter. Partners Group Holding AG acquired a new position in shares of ARM in the 4th quarter valued at $798,000. Finally, Mirae Asset Global Investments Co. Ltd. boosted its holdings in shares of ARM by 13.5% in the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 417,775 shares of the company’s stock valued at $45,667,000 after purchasing an additional 49,811 shares during the last quarter. Hedge funds and other institutional investors own 7.53% of the company’s stock.

ARM Company Profile

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.