ARM (NASDAQ:ARM) Stock Price Up 2.3% – Here’s Why

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) traded up 2.3% on Wednesday . The company traded as high as $417.50 and last traded at $411.83. 11,588,732 shares were traded during trading, an increase of 36% from the average session volume of 8,510,774 shares. The stock had previously closed at $402.71.

Analysts Set New Price Targets

ARM has been the topic of several research analyst reports. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating on shares of ARM in a research note on Thursday, May 7th. Mizuho increased their price target on ARM from $360.00 to $425.00 and gave the stock an “outperform” rating in a report on Monday. Rosenblatt Securities raised their price target on ARM from $175.00 to $270.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. New Street Research upgraded ARM from a “neutral” rating to a “buy” rating in a report on Thursday, February 5th. Finally, Susquehanna increased their target price on ARM from $170.00 to $210.00 and gave the stock a “positive” rating in a research note on Thursday, April 16th. Twenty analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, ARM presently has an average rating of “Moderate Buy” and a consensus price target of $226.92.

ARM Stock Down 8.4%

The company’s fifty day moving average is $220.92 and its 200 day moving average is $156.68. The firm has a market cap of $380.79 billion, a price-to-earnings ratio of 429.11, a PEG ratio of 14.96 and a beta of 3.78.

ARM (NASDAQ:ARM) last issued its quarterly earnings results on Wednesday, April 1st. The company reported $0.60 EPS for the quarter. The firm had revenue of $1.49 billion during the quarter. ARM had a return on equity of 12.43% and a net margin of 18.37%. On average, equities research analysts forecast that ARM Holdings PLC Sponsored ADR will post 1.12 EPS for the current fiscal year.

Insider Transactions at ARM

In other news, CFO Jason Child sold 31,920 shares of the company’s stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $226.54, for a total transaction of $7,231,156.80. Following the completion of the transaction, the chief financial officer directly owned 174,232 shares in the company, valued at approximately $39,470,517.28. This represents a 15.48% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Laura Kathleen Bartels sold 11,306 shares of the company’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $392.70, for a total value of $4,439,866.20. Following the completion of the transaction, the chief accounting officer directly owned 12,135 shares of the company’s stock, valued at $4,765,414.50. This represents a 48.23% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 301,338 shares of company stock worth $66,030,158 over the last ninety days.

Hedge Funds Weigh In On ARM

A number of hedge funds have recently modified their holdings of ARM. Compound Planning Inc. increased its holdings in ARM by 4.6% during the 3rd quarter. Compound Planning Inc. now owns 1,569 shares of the company’s stock worth $222,000 after acquiring an additional 69 shares during the period. Rathbones Group PLC raised its holdings in shares of ARM by 0.7% in the 3rd quarter. Rathbones Group PLC now owns 10,552 shares of the company’s stock valued at $1,493,000 after acquiring an additional 70 shares in the last quarter. Kovack Advisors Inc. increased its position in shares of ARM by 2.0% in the third quarter. Kovack Advisors Inc. now owns 3,602 shares of the company’s stock worth $510,000 after purchasing an additional 72 shares during the last quarter. Murphy & Mullick Capital Management Corp increased its holdings in shares of ARM by 9.1% in the 3rd quarter. Murphy & Mullick Capital Management Corp now owns 926 shares of the company’s stock worth $135,000 after buying an additional 77 shares during the last quarter. Finally, Balboa Wealth Partners lifted its holdings in shares of ARM by 2.7% during the 3rd quarter. Balboa Wealth Partners now owns 3,108 shares of the company’s stock worth $440,000 after acquiring an additional 83 shares during the last quarter. Institutional investors and hedge funds 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.