ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) Receives Consensus Rating of "Moderate Buy" from Analysts

Key Points

• Consensus rating: ARM has an average analyst rating of "Moderate Buy" from 27 brokers (1 sell, 7 hold, 18 buy, 1 strong buy) with an average 1-year price target of about $177.90.
• Analyst views are mixed — several firms recently cut targets (Goldman Sachs downgraded to a sell with a $120 target) while others raised or kept bullish calls (KeyCorp $200, UBS $195), implying a wide target range of roughly $120–$200.
• Fundamentals: ARM beat Q results (EPS $0.39 vs. $0.33 expected; revenue $1.14B, up 34.5% YoY) and set Q3 2026 EPS guidance of 0.370–0.450, while the stock trades around $111.79 with a market cap of $118.1B, a PE of ~143, and a 52-week range of $80–$183.16.

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report) has been assigned an average rating of "Moderate Buy" from the twenty-seven brokerages that are currently covering the stock, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating, eighteen have assigned a buy rating and one has assigned a strong buy rating to the company. The average 1-year price target among brokerages that have issued ratings on the stock in the last year is $177.9048.

A number of analysts have recently commented on ARM shares. UBS Group cut their target price on ARM from $200.00 to $195.00 and set a "buy" rating on the stock in a research report on Thursday, November 6th. KeyCorp increased their price objective on ARM from $190.00 to $200.00 and gave the company an "overweight" rating in a report on Thursday, November 6th. The Goldman Sachs Group cut shares of ARM from a "neutral" rating to a "sell" rating and cut their target price for the company from $160.00 to $120.00 in a report on Monday, December 15th. Bank of America decreased their price target on shares of ARM from $205.00 to $145.00 and set a "buy" rating for the company in a research note on Tuesday, December 16th. Finally, Oddo Bhf set a $170.00 price objective on shares of ARM in a research note on Monday, January 5th.

ARM Stock Down 1.1%

NASDAQ ARM opened at $111.79 on Friday. ARM has a 52 week low of $80.00 and a 52 week high of $183.16. The firm has a 50 day moving average of $130.67 and a two-hundred day moving average of $144.07. The stock has a market capitalization of $118.11 billion, a PE ratio of 143.32, a price-to-earnings-growth ratio of 6.70 and a beta of 4.34.

ARM (NASDAQ:ARM - Get Free Report) last released its quarterly earnings data on Wednesday, November 5th. The company reported $0.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.33 by $0.06. The business had revenue of $1.14 billion during the quarter, compared to analysts' expectations of $1.06 billion. ARM had a return on equity of 15.03% and a net margin of 18.81%.The business's quarterly revenue was up 34.5% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.30 EPS. ARM has set its Q3 2026 guidance at 0.370-0.450 EPS. On average, equities research analysts expect that ARM will post 0.9 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. GAMMA Investing LLC lifted its holdings in shares of ARM by 126.0% during the third quarter. GAMMA Investing LLC now owns 174 shares of the company's stock worth $25,000 after purchasing an additional 97 shares during the period. Huntington National Bank purchased a new position in ARM during the 2nd quarter worth $30,000. Grey Fox Wealth Advisors LLC acquired a new stake in shares of ARM in the 3rd quarter worth $28,000. FWL Investment Management LLC purchased a new stake in shares of ARM in the second quarter valued at about $34,000. Finally, Oliver Lagore Vanvalin Investment Group acquired a new position in shares of ARM during the second quarter worth about $39,000. 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.