RFG Advisory LLC Sells 5,500 Shares of Arm Holdings PLC Sponsored ADR $ARM

Key Points

• RFG Advisory LLC reduced its ARM position by 89.2% in the second quarter, selling 5,500 shares and retaining 666 shares valued at approximately $236,000.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $305.72, though several firms recently lowered targets or moved to “Hold.”
• ARM exceeded quarterly expectations, reporting $0.45 in EPS and $1.29 billion in revenue, up 22.4% year over year; however, its high valuation and significant share-price volatility remain key risks.

RFG Advisory LLC cut its stake in shares of Arm Holdings PLC Sponsored ADR (NASDAQ:ARM - Free Report) by 89.2% during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 666 shares of the company's stock after selling 5,500 shares during the period. RFG Advisory LLC's holdings in ARM were worth $236,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds have also recently modified their holdings of ARM. Syntax Research Inc. purchased a new stake in ARM during the 1st quarter valued at $30,000. Evelyn Partners Investment Management Services Ltd purchased a new stake in shares of ARM in the first quarter valued at $30,000. Allied Private Wealth LLC bought a new stake in shares of ARM in the 2nd quarter worth about $71,000. Cassaday & Co Wealth Management LLC purchased a new position in shares of ARM during the 1st quarter worth about $40,000. Finally, Motiv8 Investments LLC purchased a new position in shares of ARM during the 4th quarter worth about $38,000. Hedge funds and other institutional investors own 7.53% of the company's stock.

Analyst Ratings Changes

A number of analysts recently weighed in on the stock. Benchmark assumed coverage on shares of ARM in a research report on Thursday, July 16th. They issued a "hold" rating on the stock. Morgan Stanley boosted their target price on ARM from $202.00 to $212.00 and gave the company an "equal weight" rating in a research report on Thursday, July 30th. HSBC cut ARM from a "buy" rating to a "hold" rating and upped their target price for the company from $255.00 to $315.00 in a research note on Tuesday, July 14th. Royal Bank Of Canada reduced their price target on ARM from $475.00 to $340.00 and set an "outperform" rating on the stock in a report on Thursday, July 30th. Finally, UBS Group dropped their price objective on ARM from $360.00 to $320.00 and set a "buy" rating for the company in a report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, ARM currently has a consensus rating of "Moderate Buy" and an average price target of $305.72.

ARM Price Performance

Shares of ARM opened at $241.83 on Wednesday. The firm has a market capitalization of $258.29 billion, a price-to-earnings ratio of 249.31, a PEG ratio of 7.09 and a beta of 3.89. Arm Holdings PLC Sponsored ADR has a 1-year low of $100.02 and a 1-year high of $452.70. The company has a 50-day moving average of $263.00 and a 200 day moving average of $245.16.

ARM (NASDAQ:ARM - Get Free Report) last issued its earnings results on Thursday, July 30th. The company reported $0.45 EPS for the quarter, topping analysts' consensus estimates of $0.40 by $0.05. ARM had a net margin of 20.25% and a return on equity of 12.24%. The business had revenue of $1.29 billion for the quarter, compared to analyst estimates of $1.26 billion. During the same period last year, the company posted $0.35 earnings per share. The company's quarterly revenue was up 22.4% compared to the same quarter last year. On average, equities analysts anticipate that Arm Holdings PLC Sponsored ADR will post 1.15 earnings per share for the current fiscal year.

Insider Transactions at ARM

In other ARM news, CFO Jason Child sold 10,400 shares of the firm's stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $255.33, for a total transaction of $2,655,432.00. Following the transaction, the chief financial officer directly owned 163,832 shares in the company, valued at $41,831,224.56. This trade represents a 5.97% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Key Stories Impacting ARM

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Arm’s data-center royalty revenue is reportedly doubling as hyperscalers deploy custom Arm-based CPUs, reinforcing the company’s “picks-and-shovels” position in AI infrastructure. However, continued growth across multiple computing markets is needed to justify the premium valuation. Arm Surges as the AI Selloff Tests Its Royalty Machine
• Positive Sentiment: New and expanded AI-focused offerings, including Neoverse CSS N4 and an AI general-purpose CPU, could increase Arm’s presence in data centers and other compute markets. Arm expands AI chip push with Neoverse CSS N4 and AGI CPU
• Positive Sentiment: Articles highlight potential expansion into physical AI, robotics and desktop computing, which could diversify Arm beyond its established smartphone and embedded markets. Arm to discuss scaling physical AI at RoboBusiness
• Neutral Sentiment: Arm’s latest quarterly results exceeded expectations: revenue rose 22% year over year to $1.29 billion and earnings per share reached $0.45 versus a $0.40 consensus estimate. The results support the growth story, but investors remain focused on whether it can sustain that pace. Arm Stock Is Down More Than 40%. Here's Why I'm Staying on the Sidelines.
• Negative Sentiment: Valuation remains the key risk. A roughly 120-times forward earnings multiple leaves little room for execution problems, while Arm’s share price has shown extreme volatility. Prediction: Arm Could Be the Picks-and-Shovels Winner of the AI Boom
• Negative Sentiment: A broad AI and semiconductor selloff recently pressured ARM and other high-multiple technology stocks. Smartphone processors still generated about 43% of Arm’s royalty revenue in fiscal 2026, underscoring concentration risk while newer markets scale. Arm stock falls 7% as AI selloff, valuation risks hit chip designer

ARM Company Profile

Arm Holdings plc is a semiconductor and software intellectual property company headquartered in Cambridge, England. Rather than manufacturing chips, Arm develops processor architectures and technology designs that it licenses to semiconductor companies, device manufacturers and other technology businesses for use in their own products.

Arm's portfolio includes central processing unit (CPU) architectures and processor cores, graphics processing units (GPUs), systems IP, interconnect technology, security solutions and related software and development tools.

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