Evercore ISI Forecasts Strong Price Appreciation for ARM (NASDAQ:ARM) Stock

Key Points

• Evercore ISI raised ARM's price target from $173.00 to $178.00, indicating a potential upside of 14.01% from the stock's previous close.
• Multiple research firms have recently issued positive ratings on ARM, with price targets up to $210.00 from BNP Paribas Exane.
• ARM's latest earnings report showed a 12.1% year-over-year increase in quarterly revenue, beating expectations with earnings per share of $0.35.

ARM (NASDAQ:ARM - Free Report) had its price objective hoisted by Evercore ISI from $173.00 to $178.00 in a research report report published on Thursday morning,Benzinga reports. They currently have an outperform rating on the stock.

ARM has been the subject of several other research reports. TD Cowen increased their target price on ARM from $155.00 to $175.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. KeyCorp reissued an "overweight" rating and set a $190.00 price target (up from $175.00) on shares of ARM in a research note on Thursday, July 31st. BNP Paribas raised ARM from a "neutral" rating to an "outperform" rating and raised their price target for the stock from $110.00 to $210.00 in a research note on Wednesday, July 16th. Wells Fargo & Company raised their price target on ARM from $145.00 to $175.00 and gave the stock an "overweight" rating in a research note on Monday, July 21st. Finally, Seaport Res Ptn upgraded ARM to a "strong-buy" rating in a report on Monday, August 11th. One analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $168.52.

ARM Stock Performance

Shares of NASDAQ:ARM traded down $4.06 during midday trading on Thursday, reaching $150.64. 3,601,431 shares of the company's stock traded hands, compared to its average volume of 3,790,131. The company has a market cap of $159.15 billion, a price-to-earnings ratio of 228.24, a P/E/G ratio of 10.34 and a beta of 4.17. ARM has a one year low of $80.00 and a one year high of $182.88. The stock has a 50 day moving average of $145.03 and a 200 day moving average of $131.07.

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

Institutional Trading of ARM

Several hedge funds and other institutional investors have recently bought and sold shares of ARM. TFC Financial Management Inc. increased its holdings in shares of ARM by 163.4% in the first quarter. TFC Financial Management Inc. now owns 266 shares of the company's stock valued at $28,000 after buying an additional 165 shares in the last quarter. Brooklyn Investment Group acquired a new stake in shares of ARM during the first quarter worth $28,000. Huntington National Bank bought a new stake in shares of ARM during the 2nd quarter worth about $30,000. N.E.W. Advisory Services LLC acquired a new position in shares of ARM in the 1st quarter valued at approximately $34,000. Finally, FWL Investment Management LLC acquired a new position in ARM during the 2nd quarter worth approximately $34,000. 7.53% of the stock is owned by institutional investors.

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.