ARM (NASDAQ:ARM) Shares Up 2.5% – Here’s What Happened

Shares of ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) traded up 2.5% on Thursday . The stock traded as high as $290.21 and last traded at $278.65. Approximately 4,783,597 shares were traded during mid-day trading, a decline of 43% from the average daily volume of 8,373,857 shares. The stock had previously closed at $271.87.

Analyst Upgrades and Downgrades

A number of research analysts have recently weighed in on the stock. Susquehanna raised their price target on shares of ARM from $300.00 to $320.00 and gave the company a “positive” rating in a report on Tuesday, July 21st. TD Cowen decreased their price objective on shares of ARM from $475.00 to $350.00 and set a “buy” rating for the company in a report on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating on shares of ARM in a research report on Thursday, May 7th. The Goldman Sachs Group raised their target price on ARM from $125.00 to $150.00 and gave the company a “sell” rating in a report on Thursday, May 7th. Finally, Rosenblatt Securities lowered their price objective on shares of ARM from $270.00 to $250.00 and set a “buy” rating on the stock in a research note on Friday, July 31st. Eighteen research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $285.33.

ARM Stock Up 0.3%

The firm has a market capitalization of $298.46 billion, a P/E ratio of 288.09, a PEG ratio of 8.26 and a beta of 3.90. The business has a 50-day moving average price of $311.67 and a 200-day moving average price of $224.32.

ARM (NASDAQ:ARM) last issued its earnings results on Thursday, July 30th. The company reported $0.45 EPS for the quarter, topping the consensus estimate of $0.40 by $0.05. ARM had a return on equity of 12.24% and a net margin of 20.25%.The firm had revenue of $1.29 billion during the quarter, compared to analysts’ expectations of $1.26 billion. During the same period last year, the business earned $0.35 earnings per share. ARM’s quarterly revenue was up 22.4% compared to the same quarter last year. As a group, sell-side analysts forecast that ARM Holdings PLC Sponsored ADR will post 1.15 EPS for the current year.

Insider Buying and Selling

In related news, insider Spencer Collins sold 40,941 shares of the company’s stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $215.00, for a total value of $8,802,315.00. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CAO Laura Kathleen Bartels sold 11,306 shares of the stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $392.70, for a total transaction of $4,439,866.20. Following the completion of the transaction, the chief accounting officer directly owned 12,135 shares of the company’s stock, valued at $4,765,414.50. This trade represents a 48.23% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 157,088 shares of company stock worth $39,612,053.

Institutional Investors Weigh In On ARM

A number of institutional investors have recently added to or reduced their stakes in ARM. Syntax Research Inc. acquired a new position in shares of ARM in the 1st quarter worth approximately $30,000. Evelyn Partners Investment Management Services Ltd acquired a new stake in ARM in the 1st quarter valued at $30,000. Mcguire Capital Advisors Inc. acquired a new stake in ARM in the 4th quarter valued at $30,000. Navalign LLC bought a new stake in ARM in the fourth quarter valued at $33,000. Finally, FWL Investment Management LLC bought a new stake in ARM in the second quarter valued at $34,000. 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.