ARM (NASDAQ:ARM) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

ARM (NASDAQ:ARM) released its quarterly earnings results on Wednesday. The company reported $0.43 earnings per share for the quarter, beating the consensus estimate of $0.41 by $0.02, FiscalAI reports. The firm had revenue of $1.24 billion for the quarter, compared to analysts’ expectations of $1.23 billion. ARM had a return on equity of 15.03% and a net margin of 18.81%.

ARM Stock Performance

ARM stock traded up $0.49 on Wednesday, reaching $105.04. The company’s stock had a trading volume of 9,193,055 shares, compared to its average volume of 6,590,614. The firm has a market cap of $110.97 billion, a PE ratio of 134.66, a PEG ratio of 6.40 and a beta of 4.35. The business has a fifty day simple moving average of $118.36 and a two-hundred day simple moving average of $138.76. ARM has a 12-month low of $80.00 and a 12-month high of $183.16.

Analysts Set New Price Targets

ARM has been the subject of a number of research reports. Weiss Ratings reiterated a “hold (c)” rating on shares of ARM in a report on Wednesday, January 21st. Citigroup lowered ARM from a “buy” rating to a “hold” rating in a research note on Tuesday, January 13th. Bank of America reissued a “neutral” rating and set a $120.00 price target on shares of ARM in a research note on Tuesday, January 13th. Royal Bank Of Canada started coverage on shares of ARM in a research note on Wednesday, January 14th. They issued an “outperform” rating and a $140.00 price objective for the company. Finally, Loop Capital lifted their target price on shares of ARM from $155.00 to $180.00 and gave the stock a “buy” rating in a research report on Wednesday, November 12th. Sixteen analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $169.52.

Institutional Investors Weigh In On ARM

Several institutional investors and hedge funds have recently modified their holdings of the stock. Amundi raised its stake in ARM by 24.8% in the first quarter. Amundi now owns 11,804 shares of the company’s stock worth $1,153,000 after buying an additional 2,345 shares in the last quarter. Empowered Funds LLC grew its holdings in shares of ARM by 28.8% during the 1st quarter. Empowered Funds LLC now owns 4,887 shares of the company’s stock worth $522,000 after acquiring an additional 1,094 shares during the period. Schnieders Capital Management LLC. raised its position in shares of ARM by 9.0% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,430 shares of the company’s stock worth $393,000 after acquiring an additional 200 shares in the last quarter. Bank of Nova Scotia bought a new position in shares of ARM in the 2nd quarter worth approximately $556,000. Finally, State Street Corp lifted its stake in shares of ARM by 14.7% in the 2nd quarter. State Street Corp now owns 441,445 shares of the company’s stock valued at $71,399,000 after purchasing an additional 56,656 shares during the period. 7.53% of the stock is owned by hedge funds and other institutional investors.

About ARM

Arm Limited (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.