ARM (NASDAQ:ARM) Shares Up 2.8% – Here’s Why

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) shares traded up 2.8% during mid-day trading on Friday . The stock traded as high as $315.00 and last traded at $306.51. 13,796,510 shares traded hands during trading, an increase of 69% from the average session volume of 8,168,831 shares. The stock had previously closed at $298.23.

More ARM News

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Analysts said Nvidia’s bullish comments on Arm-based Vera CPUs support ARM’s growth narrative, with Jefferies reiterating a Buy rating and a $290 price target. Nvidia CPU comments read positively for this chip stock: analyst
• Positive Sentiment: Bernstein initiated coverage with an Outperform rating and a $300 target, highlighting Arm’s potential as AI and custom chip demand expands. Is Arm Holdings (ARM) the Best European Growth Stock to Buy?
• Positive Sentiment: Market commentary continues to frame ARM as a momentum name tied to the AI and CPU renaissance, with investors bidding the shares to fresh highs on expectations for strong profit growth. Arm Holdings (ARM) Hits All-Time High as Profits Seen Rocketing 5x
• Neutral Sentiment: Several insider sales were disclosed this week, including transactions by Charlotte Claire Eaton, CFO Jason Child, William Abbey, and Spencer Collins; most were pre-arranged or routine, but they can still raise valuation caution. SEC filing for insider sales
• Neutral Sentiment: Some recent market commentary says ARM remains a high-momentum stock and a proxy for the AI buildout, which supports the rally but also suggests expectations are elevated. Why Arm Holdings Stock Surged to an All-Time High Today

Analyst Ratings Changes

Several equities analysts recently issued reports on the company. Deutsche Bank Aktiengesellschaft restated a “hold” rating on shares of ARM in a research note on Thursday, May 7th. Needham & Company LLC raised their price objective on ARM from $200.00 to $255.00 and gave the stock a “buy” rating in a research note on Thursday, May 7th. Evercore reduced their price objective on ARM from $215.00 to $170.00 and set an “outperform” rating on the stock in a research note on Thursday, February 5th. Weiss Ratings restated a “hold (c)” rating on shares of ARM in a research note on Monday, April 20th. Finally, Sanford C. Bernstein assumed coverage on ARM in a research note on Monday. They set an “outperform” rating and a $300.00 price objective on the stock. Twenty analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $208.79.

ARM Stock Up 2.8%

The stock has a market capitalization of $323.83 billion, a P/E ratio of 364.89, a PEG ratio of 9.32 and a beta of 3.40. The company has a 50 day moving average of $175.32 and a 200-day moving average of $142.53.

ARM (NASDAQ:ARM) last posted its earnings results on Wednesday, April 1st. The company reported $0.60 earnings per share (EPS) for the quarter. The company had revenue of $1.49 billion for the quarter. ARM had a return on equity of 12.43% and a net margin of 18.37%. Equities analysts forecast that ARM Holdings PLC Sponsored ADR will post 1.12 EPS for the current fiscal year.

Insider Buying and Selling

In other ARM news, insider Richard Roy Grisenthwaite sold 24,339 shares of the firm’s stock in a transaction on Monday, May 18th. The stock was sold at an average price of $209.15, for a total value of $5,090,501.85. Following the sale, the insider directly owned 5,543 shares in the company, valued at approximately $1,159,318.45. This trade represents a 81.45% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider William Abbey sold 5,069 shares of the firm’s stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $257.18, for a total value of $1,303,645.42. Following the completion of the sale, the insider owned 38,284 shares in the company, valued at $9,845,879.12. The trade was a 11.69% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 264,506 shares of company stock valued at $53,198,992 in the last three months.

Institutional Investors Weigh In On ARM

A number of hedge funds have recently added to or reduced their stakes in the stock. Compound Planning Inc. lifted its stake in ARM by 4.6% in the third quarter. Compound Planning Inc. now owns 1,569 shares of the company’s stock valued at $222,000 after buying an additional 69 shares during the last quarter. Ritholtz Wealth Management lifted its stake in ARM by 3.0% in the third quarter. Ritholtz Wealth Management now owns 2,439 shares of the company’s stock valued at $345,000 after buying an additional 70 shares during the last quarter. Rathbones Group PLC lifted its stake in ARM by 0.7% in the third quarter. Rathbones Group PLC now owns 10,552 shares of the company’s stock valued at $1,493,000 after buying an additional 70 shares during the last quarter. Kovack Advisors Inc. lifted its stake in ARM by 2.0% in the third quarter. Kovack Advisors Inc. now owns 3,602 shares of the company’s stock valued at $510,000 after buying an additional 72 shares during the last quarter. Finally, Murphy & Mullick Capital Management Corp increased its holdings in shares of ARM by 9.1% during the third quarter. Murphy & Mullick Capital Management Corp now owns 926 shares of the company’s stock valued at $135,000 after purchasing an additional 77 shares during the period. 7.53% of the stock is currently owned by institutional investors.

ARM Company Profile

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.