ARM (NASDAQ:ARM) Stock Price Down 2.4% – What’s Next?

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) fell 2.4% on Wednesday . The stock traded as low as $344.12 and last traded at $357.6480. 8,309,677 shares changed hands during mid-day trading, a decline of 8% from the average session volume of 9,047,557 shares. The stock had previously closed at $366.39.

Analyst Ratings Changes

Several equities analysts recently commented on ARM shares. Wells Fargo & Company boosted their price target on ARM from $255.00 to $410.00 and gave the stock an “overweight” rating in a research report on Monday, June 1st. The Goldman Sachs Group lifted their price objective on shares of ARM from $125.00 to $150.00 and gave the company a “sell” rating in a research note on Thursday, May 7th. Sanford C. Bernstein set a $500.00 target price on shares of ARM in a research note on Wednesday, June 17th. Barclays lifted their price target on shares of ARM from $250.00 to $360.00 and gave the stock an “overweight” rating in a research note on Monday, June 1st. Finally, Needham & Company LLC reissued a “buy” rating and issued a $400.00 price objective on shares of ARM in a research report on Tuesday, June 16th. Nineteen research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, ARM currently has a consensus rating of “Moderate Buy” and a consensus target price of $279.83.

ARM Stock Performance

The company has a market capitalization of $359.17 billion, a PE ratio of 398.17, a PEG ratio of 13.04 and a beta of 3.78. The company has a 50 day moving average price of $288.40 and a 200 day moving average price of $181.99.

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

Insider Activity at ARM

In other news, insider Charlotte Claire Eaton sold 4,000 shares of the stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $282.77, for a total transaction of $1,131,080.00. Following the transaction, the insider owned 7,805 shares of the company’s stock, valued at approximately $2,207,019.85. This trade represents a 33.88% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider William Abbey sold 6,566 shares of the business’s stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $402.72, for a total value of $2,644,259.52. Following the completion of the sale, the insider directly owned 20,563 shares of the company’s stock, valued at approximately $8,281,131.36. This represents a 24.20% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 248,205 shares of company stock worth $57,741,572.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Morgan Stanley boosted its stake in ARM by 1.2% in the fourth quarter. Morgan Stanley now owns 3,783,006 shares of the company’s stock valued at $413,521,000 after acquiring an additional 45,314 shares during the period. Invesco Ltd. increased its position in ARM by 36.9% in the fourth quarter. Invesco Ltd. now owns 2,426,850 shares of the company’s stock worth $265,279,000 after buying an additional 654,727 shares during the period. Coatue Management LLC lifted its stake in ARM by 1.8% in the fourth quarter. Coatue Management LLC now owns 2,300,000 shares of the company’s stock valued at $251,413,000 after buying an additional 40,174 shares during the last quarter. Wellington Management Group LLP boosted its holdings in shares of ARM by 41.6% during the fourth quarter. Wellington Management Group LLP now owns 2,149,159 shares of the company’s stock valued at $234,925,000 after acquiring an additional 631,576 shares during the period. Finally, Schroder Investment Management Group grew its position in shares of ARM by 11.0% during the fourth quarter. Schroder Investment Management Group now owns 1,891,310 shares of the company’s stock worth $206,739,000 after acquiring an additional 187,035 shares during the last quarter. 7.53% of the stock is owned by institutional investors and hedge funds.

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.