ARM (NASDAQ:ARM) Shares Gap Up on Strong Earnings

Arm Holdings plc (NASDAQ:ARMGet Free Report)’s share price gapped up before the market opened on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at 132.96, but opened at 143.41. ARM shares last traded at 141.80, with a volume of 2,154,804 shares traded.

The company reported 0.40 earnings per share for the quarter, beating analysts’ consensus estimates of 0.35 by 0.05. The firm had revenue of 939.00 million for the quarter, compared to analyst estimates of 905.53 million. ARM had a net margin of 12.12% and a return on equity of 19.58%. ARM’s quarterly revenue was up 39.1% on a year-over-year basis. During the same period last year, the firm posted $0.24 EPS.

Analyst Upgrades and Downgrades

ARM has been the subject of a number of research analyst reports. Susquehanna restated a “neutral” rating and issued a $85.00 price target on shares of ARM in a research report on Thursday, April 4th. Morgan Stanley upgraded shares of ARM from an “equal weight” rating to an “overweight” rating and increased their price target for the company from $107.00 to $190.00 in a research report on Friday, July 19th. Guggenheim lifted their price objective on ARM from $110.00 to $169.00 and gave the stock a “buy” rating in a research report on Tuesday, June 25th. BNP Paribas lowered ARM from an “outperform” rating to a “neutral” rating and set a $100.00 target price on the stock. in a research note on Friday, April 19th. Finally, Bank of America raised their price target on ARM from $150.00 to $180.00 and gave the stock a “buy” rating in a research report on Monday, June 17th. Two analysts have rated the stock with a sell rating, ten have issued a hold rating and fifteen have issued a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of 118.80.

View Our Latest Stock Report on ARM

Institutional Trading of ARM

Hedge funds and other institutional investors have recently bought and sold shares of the company. Mark Sheptoff Financial Planning LLC bought a new stake in shares of ARM during the 1st quarter valued at about $25,000. Transcendent Capital Group LLC bought a new position in shares of ARM during the second quarter valued at approximately $33,000. SOA Wealth Advisors LLC. acquired a new stake in shares of ARM during the 1st quarter worth approximately $35,000. RiverPark Advisors LLC lifted its holdings in shares of ARM by 45.3% in the 2nd quarter. RiverPark Advisors LLC now owns 247 shares of the company’s stock worth $40,000 after purchasing an additional 77 shares during the last quarter. Finally, Mather Group LLC. bought a new stake in shares of ARM in the 2nd quarter worth approximately $41,000. 7.53% of the stock is owned by institutional investors.

ARM Trading Down 6.6 %

The firm has a market cap of $118.88 billion and a price-to-earnings ratio of 153.37. The stock has a 50-day moving average of 153.80 and a 200-day moving average of 126.39.

ARM Company Profile

(Get Free Report)

Arm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products. It offers microprocessors, systems intellectual property (IPs), graphics processing units, physical IP and associated systems IPs, software, tools, and other related services.

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