ARM (NASDAQ:ARM) Trading Up 3.8% – Here’s Why

Arm Holdings plc (NASDAQ:ARM)’s stock price shot up 3.8% on Tuesday . The stock traded as high as $132.31 and last traded at $131.66. 1,783,599 shares changed hands during trading, a decline of 82% from the average session volume of 10,164,514 shares. The stock had previously closed at $126.87.

Analyst Ratings Changes

Several research analysts have weighed in on the company. Raymond James started coverage on ARM in a research report on Friday, September 13th. They issued an “outperform” rating and a $160.00 price objective on the stock. Susquehanna upped their price objective on shares of ARM from $115.00 to $118.00 and gave the stock a “neutral” rating in a research report on Thursday, November 7th. JPMorgan Chase & Co. upped their price objective on ARM from $140.00 to $160.00 and gave the stock an “overweight” rating in a report on Thursday, November 7th. Barclays lifted their target price on shares of ARM from $125.00 to $145.00 and gave the stock an “overweight” rating in a research report on Thursday, November 7th. Finally, Loop Capital raised their target price on shares of ARM from $130.00 to $180.00 and gave the stock a “buy” rating in a report on Monday, November 11th. Two analysts have rated the stock with a sell rating, six have given a hold rating, eighteen have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $150.32.

ARM Price Performance

The company has a market cap of $138.09 billion, a price-to-earnings ratio of 219.65, a price-to-earnings-growth ratio of 7.15 and a beta of 4.67. The firm’s 50-day moving average price is $140.58 and its 200-day moving average price is $143.82.

ARM (NASDAQ:ARM) last announced its earnings results on Wednesday, November 6th. The company reported $0.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.26 by $0.04. The company had revenue of $844.00 million for the quarter, compared to analyst estimates of $810.03 million. ARM had a return on equity of 13.69% and a net margin of 18.13%. ARM’s quarterly revenue was up 4.7% on a year-over-year basis. During the same period in the prior year, the company posted $0.36 EPS. On average, sell-side analysts anticipate that Arm Holdings plc will post 0.79 earnings per share for the current year.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. International Assets Investment Management LLC grew its position in ARM by 14,351.1% during the third quarter. International Assets Investment Management LLC now owns 812,297 shares of the company’s stock valued at $1,161,670,000 after purchasing an additional 806,676 shares in the last quarter. Sei Investments Co. grew its stake in shares of ARM by 551.6% in the second quarter. Sei Investments Co. now owns 579,330 shares of the company’s stock worth $94,790,000 after acquiring an additional 490,415 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. lifted its stake in shares of ARM by 186.8% in the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 359,105 shares of the company’s stock valued at $52,279,000 after buying an additional 233,909 shares during the period. Franklin Resources Inc. raised its stake in shares of ARM by 21.7% in the third quarter. Franklin Resources Inc. now owns 1,281,484 shares of the company’s stock valued at $183,265,000 after purchasing an additional 228,467 shares in the last quarter. Finally, Marsico Capital Management LLC bought a new position in shares of ARM during the 2nd quarter worth about $33,207,000. Institutional investors and hedge funds own 7.53% of the company’s stock.

About ARM

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.