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

Key Points

• ARM Holdings PLC has received a consensus recommendation of "Moderate Buy" from 27 analysts, with an average twelve-month price target of $169.67.
• Several investment firms, including TD Cowen and Morgan Stanley, have raised their price objectives on ARM shares, with Morgan Stanley setting a target of $194.00.
• In its most recent earnings report, ARM reported an EPS of $0.35, exceeding analysts' expectations, and a revenue of $1.05 billion, marking a 12.1% increase year-over-year.

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report) has been given an average rating of "Moderate Buy" by the twenty-seven analysts that are presently covering the company, MarketBeat reports. One investment analyst has rated the stock with a sell rating, six have issued a hold rating, nineteen have assigned a buy rating and one has issued a strong buy rating on the company. The average twelve-month price target among analysts that have issued a report on the stock in the last year is $169.6667.

Several analysts recently commented on ARM shares. TD Cowen raised their price objective on shares of ARM from $155.00 to $175.00 and gave the company a "buy" rating in a research note on Thursday, July 31st. KeyCorp reiterated an "overweight" rating and issued a $190.00 price objective (up previously from $175.00) on shares of ARM in a research note on Thursday, July 31st. Needham & Company LLC reiterated a "hold" rating on shares of ARM in a research note on Thursday, July 31st. Seaport Res Ptn upgraded shares of ARM to a "strong-buy" rating in a research note on Monday. Finally, Morgan Stanley raised their price objective on shares of ARM from $150.00 to $194.00 and gave the company an "overweight" rating in a research note on Monday, July 28th.

Institutional Investors Weigh In On ARM

Hedge funds and other institutional investors have recently modified their holdings of the company. Sowell Financial Services LLC purchased a new stake in shares of ARM during the first quarter worth about $229,000. Envestnet Asset Management Inc. grew its holdings in shares of ARM by 0.8% during the fourth quarter. Envestnet Asset Management Inc. now owns 43,124 shares of the company's stock worth $5,320,000 after buying an additional 353 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of ARM by 0.8% during the fourth quarter. Geode Capital Management LLC now owns 108,531 shares of the company's stock worth $13,388,000 after buying an additional 848 shares in the last quarter. Spire Wealth Management grew its holdings in ARM by 15.7% in the first quarter. Spire Wealth Management now owns 1,174 shares of the company's stock valued at $125,000 after purchasing an additional 159 shares during the period. Finally, Cerity Partners LLC grew its holdings in ARM by 19.2% in the first quarter. Cerity Partners LLC now owns 14,671 shares of the company's stock valued at $1,567,000 after purchasing an additional 2,358 shares during the period. 7.53% of the stock is currently owned by hedge funds and other institutional investors.

ARM Stock Performance

ARM stock opened at $141.60 on Thursday. ARM has a one year low of $80.00 and a one year high of $182.88. The stock has a market capitalization of $149.60 billion, a PE ratio of 214.55, a price-to-earnings-growth ratio of 9.52 and a beta of 4.17. The company has a fifty day moving average of $148.59 and a 200-day moving average of $133.49.

ARM (NASDAQ:ARM - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported $0.35 EPS for the quarter, topping the consensus estimate of $0.34 by $0.01. ARM had a net margin of 16.96% and a return on equity of 15.56%. The company had revenue of $1.05 billion during the quarter, compared to analysts' expectations of $1.06 billion. During the same quarter last year, the business earned $0.40 EPS. The business's revenue was up 12.1% on a year-over-year basis. Equities analysts forecast that ARM will post 0.9 earnings per share for the current fiscal year.

About ARM

Arm Holdings Plc engages in the licensing, marketing, research, and development of microprocessors, systems IP, graphics processing units, physical IP and associated systems IP, software, and tools. It operates through the following geographical segments: United Kingdom, United States, and Other Countries.

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