Insider Selling: ARM (NASDAQ:ARM) CFO Sells 10,400 Shares of Stock

Key Points

• ARM CFO Jason Child sold 10,400 shares at an average price of $255.33, generating approximately $2.66 million. The sale was made under a pre-arranged Rule 10b5-1 trading plan and reduced his holdings by 5.97%.
• ARM shares recently traded at $241.91, while the company reported quarterly EPS of $0.45 and revenue of $1.29 billion, exceeding analyst estimates; revenue increased 22.4% year over year.
• Analysts maintain a generally positive outlook, with 18 Buy, seven Hold and one Sell rating. The stock has a “Moderate Buy” consensus rating and an average price target of $305.12.

Arm Holdings PLC Sponsored ADR (NASDAQ:ARM - Get Free Report) CFO Jason Child sold 10,400 shares of the firm's stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $255.33, for a total value of $2,655,432.00. Following the transaction, the chief financial officer owned 163,832 shares in the company, valued at $41,831,224.56. This represents a 5.97% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

ARM Stock Up 1.2%

ARM traded up $2.86 during trading on Monday, hitting $241.91. 2,149,043 shares of the stock were exchanged, compared to its average volume of 8,039,666. The firm has a market capitalization of $258.38 billion, a P/E ratio of 249.39, a PEG ratio of 7.09 and a beta of 3.91. Arm Holdings PLC Sponsored ADR has a 1-year low of $100.02 and a 1-year high of $452.70. The stock has a fifty day moving average price of $282.06 and a two-hundred day moving average price of $235.63.

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. The business had revenue of $1.29 billion for the quarter, compared to analyst estimates of $1.26 billion. ARM had a net margin of 20.25% and a return on equity of 12.24%. The company's revenue for the quarter was up 22.4% compared to the same quarter last year. During the same period last year, the firm posted $0.35 earnings per share. Analysts predict that Arm Holdings PLC Sponsored ADR will post 1.15 EPS for the current year.

Institutional Investors Weigh In On ARM

Several institutional investors have recently made changes to their positions in the stock. Syntax Research Inc. acquired a new position in ARM during the first quarter worth about $30,000. Evelyn Partners Investment Management Services Ltd acquired a new stake in shares of ARM during the 1st quarter valued at approximately $30,000. Allied Private Wealth LLC purchased a new stake in shares of ARM during the 2nd quarter worth approximately $71,000. FWL Investment Management LLC purchased a new stake in shares of ARM during the 2nd quarter worth approximately $34,000. Finally, Cassaday & Co Wealth Management LLC acquired a new stake in shares of ARM in the 1st quarter worth approximately $40,000. 7.53% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. The Goldman Sachs Group increased their price objective on ARM from $125.00 to $150.00 and gave the stock a "sell" rating in a research report on Thursday, May 7th. HSBC downgraded ARM from a "buy" rating to a "hold" rating and increased their price target for the stock from $255.00 to $315.00 in a report on Tuesday, July 14th. UBS Group dropped their price objective on shares of ARM from $360.00 to $320.00 and set a "buy" rating on the stock in a research note on Thursday, July 30th. KeyCorp upped their price objective on shares of ARM from $300.00 to $430.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 14th. Finally, Morgan Stanley raised their target price on shares of ARM from $202.00 to $212.00 and gave the stock an "equal weight" rating in a research note on Thursday, July 30th. Eighteen equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, ARM currently has an average rating of "Moderate Buy" and an average target price of $305.12.

About ARM

Arm Holdings NASDAQ: ARM is a global semiconductor IP company best known for designing energy-efficient processor architectures and related technologies that underpin a wide range of computing devices. Founded in 1990 as a joint venture between Acorn Computers, Apple and VLSI Technology and headquartered in Cambridge, England, Arm develops the ARM instruction set architectures and core processor designs that chipmakers license and integrate into custom system-on-chip (SoC) products. The company operates a licensing and royalty business model rather than manufacturing chips itself.

Arm’s product portfolio includes CPU core families (such as Cortex and Neoverse lines), GPU and multimedia IP (Mali), neural processing units (Ethos) and a suite of system and physical IP blocks.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source