ARM (NASDAQ:ARM) CEO Sells $1,495,744.15 in Stock

Key Points

• CEO Rene Haas sold 9,299 shares at an average of $160.85 for $1,495,744.15, reducing his stake by 3.29% to 273,680 shares; the sale was disclosed in an SEC filing and executed under a pre-arranged Rule 10b5-1 trading plan.
• ARM shares traded up to $162.33 (up ~1.9%) with a market cap of $171.5 billion and a high P/E of 216.44, while the company beat quarterly estimates with $0.43 EPS and revenue of $1.24 billion, up 26.3% year-over-year.
• Analyst sentiment is broadly positive with a consensus rating of “Moderate Buy” and a $174.83 average price target (18 Buys, 6 Holds, 1 Sell), and several large institutions have recently built or increased positions in ARM.

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report) CEO Rene Haas sold 9,299 shares of ARM stock in a transaction on Tuesday, April 14th. The shares were sold at an average price of $160.85, for a total value of $1,495,744.15. Following the completion of the transaction, the chief executive officer owned 273,680 shares of the company's stock, valued at approximately $44,021,428. The trade was a 3.29% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

ARM Stock Up 1.9%

ARM traded up $2.99 during trading on Thursday, hitting $162.33. The company's stock had a trading volume of 5,737,615 shares, compared to its average volume of 6,785,758. The firm's 50 day moving average price is $133.04 and its two-hundred day moving average price is $134.58. ARM Holdings PLC Sponsored ADR has a 12 month low of $95.32 and a 12 month high of $183.16. The stock has a market capitalization of $171.50 billion, a price-to-earnings ratio of 216.44, a price-to-earnings-growth ratio of 7.27 and a beta of 3.33.

ARM (NASDAQ:ARM - Get Free Report) last issued its quarterly earnings data on Thursday, February 5th. The company reported $0.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.41 by $0.02. ARM had a return on equity of 14.01% and a net margin of 17.15%.The firm had revenue of $1.24 billion during the quarter, compared to the consensus estimate of $1.23 billion. During the same quarter in the previous year, the company posted $0.39 EPS. The business's revenue for the quarter was up 26.3% compared to the same quarter last year. On average, sell-side analysts forecast that ARM Holdings PLC Sponsored ADR will post 0.9 earnings per share for the current year.

Institutional Investors Weigh In On ARM

A number of institutional investors have recently made changes to their positions in ARM. Capital Research Global Investors acquired a new stake in shares of ARM during the third quarter worth $243,098,000. Northwestern Mutual Wealth Management Co. grew its stake in shares of ARM by 2,623.5% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,671,787 shares of the company's stock worth $182,743,000 after purchasing an additional 1,610,403 shares during the period. Hyperion Asset Management Ltd acquired a new stake in shares of ARM during the third quarter worth $202,980,000. Employees Provident Fund Board acquired a new stake in shares of ARM during the fourth quarter worth $120,241,000. Finally, Invesco Ltd. grew its stake in shares of ARM by 36.9% during the fourth quarter. Invesco Ltd. now owns 2,426,850 shares of the company's stock worth $265,279,000 after purchasing an additional 654,727 shares during the period. 7.53% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on the company. Evercore lowered their target price on ARM from $215.00 to $170.00 and set an "outperform" rating for the company in a research note on Thursday, February 5th. UBS Group lowered their target price on ARM from $175.00 to $170.00 and set a "buy" rating for the company in a research note on Thursday, February 5th. Barclays reissued an "overweight" rating and issued a $165.00 target price on shares of ARM in a research note on Thursday, March 26th. Oddo Bhf set a $170.00 target price on ARM in a research note on Monday, January 5th. Finally, Guggenheim lifted their target price on ARM from $201.00 to $240.00 and gave the company a "buy" rating in a research note on Wednesday, March 25th. Eighteen research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $174.83.

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.

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