ARM (NASDAQ:ARM) Trading 1.2% Higher - Time to Buy?

Key Points

• ARM Holdings shares increased by 1.2%, closing at $152.15 after trading as high as $152.50 on a volume decline of 33% from the average.
• Several analysts have raised their target prices for ARM, with the consensus reaching $168.52 and a majority rating the stock as a "Buy" or "Outperform."
• The company's latest earnings report revealed an EPS of $0.35 and a revenue of $1.05 billion, marking a 12.1% increase in quarterly revenue compared to last year.

Shares of ARM Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report) shot up 1.2% on Thursday . The company traded as high as $152.50 and last traded at $152.15. 3,528,571 shares traded hands during trading, a decline of 33% from the average session volume of 5,289,752 shares. The stock had previously closed at $150.38.

Wall Street Analyst Weigh In

A number of research firms have recently commented on ARM. Raymond James Financial raised their target price on ARM from $140.00 to $165.00 and gave the company an "outperform" rating in a research note on Thursday, July 31st. Wells Fargo & Company upped their target price on shares of ARM from $145.00 to $175.00 and gave the stock an "overweight" rating in a research report on Monday, July 21st. Morgan Stanley lifted their price target on shares of ARM from $150.00 to $194.00 and gave the company an "overweight" rating in a research report on Monday, July 28th. Guggenheim upped their price objective on shares of ARM from $147.00 to $187.00 and gave the stock a "buy" rating in a report on Monday, June 30th. Finally, BNP Paribas Exane upgraded shares of ARM from a "neutral" rating to an "outperform" rating and set a $210.00 target price for the company in a report on Wednesday, July 16th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $168.52.

ARM Trading Up 1.2%

The company has a market capitalization of $160.75 billion, a PE ratio of 230.53, a price-to-earnings-growth ratio of 9.46 and a beta of 4.11. The business's fifty day moving average is $143.39 and its two-hundred day moving average is $133.20.

ARM (NASDAQ:ARM - Get Free Report) last posted its earnings results on Wednesday, July 30th. The company reported $0.35 EPS for the quarter, topping analysts' consensus estimates of $0.34 by $0.01. The business had revenue of $1.05 billion during the quarter, compared to analyst estimates of $1.06 billion. ARM had a return on equity of 15.56% and a net margin of 16.96%.The company's quarterly revenue was up 12.1% compared to the same quarter last year. During the same quarter last year, the company earned $0.40 EPS. As a group, equities research analysts anticipate that ARM Holdings PLC Sponsored ADR will post 0.9 EPS for the current year.

Institutional Trading of ARM

A number of large investors have recently made changes to their positions in ARM. GAMMA Investing LLC lifted its position in ARM by 126.0% during the third quarter. GAMMA Investing LLC now owns 174 shares of the company's stock valued at $25,000 after purchasing an additional 97 shares during the period. Huntington National Bank purchased a new stake in ARM during the 2nd quarter valued at $30,000. FWL Investment Management LLC bought a new position in shares of ARM during the 2nd quarter valued at $34,000. Oliver Lagore Vanvalin Investment Group bought a new position in shares of ARM during the 2nd quarter valued at $39,000. Finally, Brooklyn Investment Group purchased a new position in shares of ARM in the 1st quarter worth $28,000. 7.53% of the stock is currently 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.

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