Arm Holdings PLC Sponsored ADR (NASDAQ:ARM) Stock Has Consensus Target Price of $303.32 According to Brokerages

Key Points

• ARM has a “Moderate Buy” consensus rating from 27 analysts, with 18 buy ratings, seven holds, one sell and one strong buy. The average 12-month price target is $303.32.
• ARM reported quarterly EPS of $0.45, exceeding the $0.40 consensus estimate, while revenue reached $1.29 billion, up 22.4% year over year and above expectations.
• Shares opened at $255.24, down 4.1%, with a market capitalization of $272.62 billion. CFO Jason Child also sold 10,400 shares at an average price of $300 under a pre-arranged trading plan.

Arm Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report) has earned a consensus rating of "Moderate Buy" from the twenty-seven analysts that are presently covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a sell recommendation, seven have assigned a hold recommendation, eighteen have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month price target among brokerages that have covered the stock in the last year is $303.32.

A number of brokerages recently weighed in on ARM. Sanford C. Bernstein set a $500.00 price target on ARM in a research note on Wednesday, June 17th. Jefferies Financial Group restated a "buy" rating and set a $320.00 price objective on shares of ARM in a report on Monday, July 20th. Susquehanna upped their price objective on shares of ARM from $300.00 to $320.00 and gave the company a "positive" rating in a research note on Tuesday, July 21st. Raymond James Financial reiterated an "outperform" rating and issued a $166.00 target price on shares of ARM in a report on Tuesday, August 25th. Finally, Needham & Company LLC reissued a "buy" rating and issued a $255.00 target price on shares of ARM in a research report on Thursday, July 30th.

ARM Stock Down 4.1%

Shares of NASDAQ ARM opened at $255.24 on Tuesday. The stock has a market capitalization of $272.62 billion, a price-to-earnings ratio of 263.14, a PEG ratio of 7.90 and a beta of 3.78. The stock's fifty day simple moving average is $270.44 and its 200 day simple moving average is $267.63. ARM has a 52-week low of $100.02 and a 52-week high of $452.70.

ARM (NASDAQ:ARM - Get Free Report) last announced its earnings results on Thursday, July 30th. The company reported $0.45 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.40 by $0.05. ARM had a return on equity of 12.24% and a net margin of 20.25%. The company had revenue of $1.29 billion for the quarter, compared to analyst estimates of $1.26 billion. During the same period in the previous year, the firm earned $0.35 earnings per share. ARM's revenue for the quarter was up 22.4% compared to the same quarter last year. As a group, analysts anticipate that ARM will post 1.15 earnings per share for the current year.

Insider Activity at ARM

In related news, CFO Jason Child sold 10,400 shares of the firm's stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $300.00, for a total value of $3,120,000.00. Following the completion of the transaction, the chief financial officer owned 153,442 shares of the company's stock, valued at approximately $46,032,600. This trade represents a 6.35% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Institutional Trading of ARM

Several large investors have recently added to or reduced their stakes in ARM. Schaper Benz & Wise Investment Counsel Inc. WI lifted its holdings in shares of ARM by 3.7% in the third quarter. Schaper Benz & Wise Investment Counsel Inc. WI now owns 38,630 shares of the company's stock valued at $11,190,000 after purchasing an additional 1,372 shares in the last quarter. Wedmont Private Capital purchased a new position in shares of ARM during the third quarter valued at $1,322,000. Gainplan LLC purchased a new position in shares of ARM during the third quarter valued at $724,000. Zevenbergen Capital Investments LLC raised its position in ARM by 3.2% during the third quarter. Zevenbergen Capital Investments LLC now owns 62,945 shares of the company's stock valued at $18,233,000 after buying an additional 1,980 shares during the period. Finally, Avidian Wealth Enterprises LLC raised its position in ARM by 9.7% during the third quarter. Avidian Wealth Enterprises LLC now owns 1,300 shares of the company's stock valued at $377,000 after buying an additional 115 shares during the period. 7.53% of the stock is owned by institutional investors and hedge funds.

ARM Company Profile

Arm Holdings plc NASDAQ: ARM is a semiconductor and software design company that develops intellectual property used to create energy-efficient computing products. Arm does not generally manufacture chips; instead, it licenses processor architectures, CPU cores, graphics technologies and related system IP to semiconductor companies and original equipment manufacturers, which incorporate them into their own products.

The company's offerings include the Cortex family of CPUs for mobile, consumer, automotive and embedded applications; Neoverse platforms for cloud and data-center infrastructure; Mali graphics processing units; and Ethos neural processing units designed for artificial intelligence and machine-learning workloads.

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