ARM (NASDAQ:ARM) Trading Up 6.3% - Time to Buy?

Key Points

• ARM Holdings PLC's stock price increased by 6.3%, closing at $150.38 with trading volume up 46% compared to the average.
• Analysts have raised their price targets significantly, with Wells Fargo setting it at $175.00 and KeyCorp at $190.00, indicating strong bullish sentiment with many ratings reflecting a "Moderate Buy" consensus.
• The company's quarterly earnings showed a slight beat on EPS at $0.35 while revenue grew by 12.1% year-over-year, despite slightly missing analysts' expectations for revenue.

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report)'s share price was up 6.3% on Wednesday . The stock traded as high as $151.25 and last traded at $150.38. Approximately 7,717,230 shares were traded during trading, an increase of 46% from the average daily volume of 5,294,492 shares. The stock had previously closed at $141.49.

Analyst Ratings Changes

Several analysts have recently weighed in on ARM shares. Wells Fargo & Company lifted their price target on shares of ARM from $145.00 to $175.00 and gave the company an "overweight" rating in a research note on Monday, July 21st. KeyCorp reaffirmed an "overweight" rating and set a $190.00 price target (up previously from $175.00) on shares of ARM in a research note on Thursday, July 31st. Guggenheim lifted their price target on shares of ARM from $147.00 to $187.00 and gave the company a "buy" rating in a research note on Monday, June 30th. Needham & Company LLC reaffirmed a "hold" rating on shares of ARM in a research note on Thursday, July 31st. Finally, Evercore ISI lifted their price target on shares of ARM from $173.00 to $178.00 and gave the company an "outperform" rating in a research note on Thursday, September 11th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $168.52.

ARM Stock Up 6.3%

The company has a market cap of $158.88 billion, a P/E ratio of 227.85, a P/E/G ratio of 9.34 and a beta of 4.17. The business's 50 day moving average is $143.57 and its 200 day moving average is $133.08.

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

Hedge Funds Weigh In On ARM

Several institutional investors and hedge funds have recently bought and sold shares of the company. Haven Private LLC grew its holdings in ARM by 0.9% in the second quarter. Haven Private LLC now owns 7,973 shares of the company's stock worth $1,290,000 after purchasing an additional 74 shares during the last quarter. Chicago Capital LLC grew its holdings in ARM by 0.5% in the second quarter. Chicago Capital LLC now owns 15,732 shares of the company's stock worth $2,544,000 after purchasing an additional 79 shares during the last quarter. Ameritas Investment Partners Inc. grew its holdings in ARM by 2.3% in the second quarter. Ameritas Investment Partners Inc. now owns 4,383 shares of the company's stock worth $709,000 after purchasing an additional 98 shares during the last quarter. Tufton Capital Management grew its holdings in ARM by 2.3% in the second quarter. Tufton Capital Management now owns 4,525 shares of the company's stock worth $731,000 after purchasing an additional 100 shares during the last quarter. Finally, Gilbert & Cook Inc. grew its holdings in ARM by 2.2% in the second quarter. Gilbert & Cook Inc. now owns 4,850 shares of the company's stock worth $784,000 after purchasing an additional 105 shares during the last quarter. 7.53% of the stock is owned by hedge funds and other institutional investors.

ARM Company Profile

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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