UBS Group Has Lowered Expectations for ARM (NASDAQ:ARM) Stock Price

ARM (NASDAQ:ARM) had its target price cut by investment analysts at UBS Group from $200.00 to $195.00 in a research note issued to investors on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. UBS Group’s price target indicates a potential upside of 27.97% from the company’s current price.

Other research analysts also recently issued research reports about the stock. The Goldman Sachs Group started coverage on shares of ARM in a report on Thursday, July 10th. They set a “neutral” rating and a $160.00 price objective on the stock. BNP Paribas raised shares of ARM from a “neutral” rating to an “outperform” rating and boosted their target price for the stock from $110.00 to $210.00 in a research report on Wednesday, July 16th. Mizuho raised their price target on shares of ARM from $180.00 to $190.00 and gave the company an “outperform” rating in a research report on Thursday. Cowen reissued a “buy” rating on shares of ARM in a report on Thursday. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of ARM in a research note on Wednesday, October 8th. One research analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat.com, ARM currently has a consensus rating of “Moderate Buy” and an average price target of $178.55.

ARM Stock Performance

Shares of NASDAQ:ARM opened at $152.38 on Thursday. ARM has a 52-week low of $80.00 and a 52-week high of $183.16. The business’s 50 day simple moving average is $155.38 and its two-hundred day simple moving average is $144.45. The firm has a market cap of $160.99 billion, a P/E ratio of 195.36, a PEG ratio of 9.94 and a beta of 4.11.

ARM (NASDAQ:ARM) last released its quarterly earnings data on Wednesday, November 5th. The company reported $0.39 EPS for the quarter, beating the consensus estimate of $0.33 by $0.06. ARM had a return on equity of 15.03% and a net margin of 18.81%.The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.06 billion. During the same quarter in the previous year, the company posted $0.30 earnings per share. The company’s quarterly revenue was up 34.5% on a year-over-year basis. ARM has set its Q3 2026 guidance at 0.370-0.450 EPS. On average, equities analysts forecast that ARM will post 0.9 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Goldman Sachs Group Inc. raised its position in shares of ARM by 59.3% in the first quarter. Goldman Sachs Group Inc. now owns 6,574,854 shares of the company’s stock worth $702,129,000 after buying an additional 2,446,224 shares in the last quarter. Sustainable Growth Advisers LP increased its stake in ARM by 116.8% in the 2nd quarter. Sustainable Growth Advisers LP now owns 3,457,220 shares of the company’s stock worth $559,171,000 after acquiring an additional 1,862,626 shares during the last quarter. Schroder Investment Management Group raised its holdings in shares of ARM by 41.7% in the 2nd quarter. Schroder Investment Management Group now owns 4,745,957 shares of the company’s stock valued at $767,611,000 after acquiring an additional 1,396,684 shares in the last quarter. Invesco Ltd. raised its holdings in shares of ARM by 139.9% in the 2nd quarter. Invesco Ltd. now owns 1,381,906 shares of the company’s stock valued at $223,509,000 after acquiring an additional 805,886 shares in the last quarter. Finally, Baillie Gifford & Co. bought a new stake in shares of ARM during the 3rd quarter valued at about $90,678,000. 7.53% of the stock is 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.