ARM (NASDAQ:ARM) Shares Up 4% – Should You Buy?

Arm Holdings plc (NASDAQ:ARM)’s stock price rose 4% during trading on Thursday . The company traded as high as $129.40 and last traded at $128.25. Approximately 1,350,065 shares changed hands during mid-day trading, a decline of 87% from the average daily volume of 10,053,197 shares. The stock had previously closed at $123.36.

Analysts Set New Price Targets

Several analysts have weighed in on ARM shares. Needham & Company LLC reissued a “hold” rating on shares of ARM in a research note on Thursday, November 7th. Wells Fargo & Company initiated coverage on ARM in a research note on Friday, November 22nd. They issued an “overweight” rating and a $155.00 target price for the company. Sanford C. Bernstein cut ARM from a “market perform” rating to an “underperform” rating and set a $100.00 price target on the stock. in a research note on Thursday, October 31st. UBS Group started coverage on ARM in a research report on Monday, November 25th. They issued a “buy” rating and a $160.00 price objective for the company. Finally, William Blair assumed coverage on shares of ARM in a report on Wednesday, September 18th. They issued an “outperform” rating on the stock. Two equities research analysts have rated the stock with a sell rating, six have given a hold rating, eighteen have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, ARM presently has a consensus rating of “Moderate Buy” and an average price target of $150.32.

ARM Price Performance

The firm has a market cap of $147.83 billion, a P/E ratio of 235.14, a price-to-earnings-growth ratio of 7.15 and a beta of 4.67. The firm’s 50 day moving average is $137.80 and its 200 day moving average is $142.72.

ARM (NASDAQ:ARM) last issued its quarterly earnings results on Wednesday, November 6th. The company reported $0.30 EPS for the quarter, topping analysts’ consensus estimates of $0.26 by $0.04. ARM had a return on equity of 13.69% and a net margin of 18.13%. The firm had revenue of $844.00 million for the quarter, compared to analysts’ expectations of $810.03 million. During the same period in the previous year, the firm posted $0.36 EPS. The business’s revenue for the quarter was up 4.7% compared to the same quarter last year. As a group, analysts expect that Arm Holdings plc will post 0.79 EPS for the current year.

Hedge Funds Weigh In On ARM

Several large investors have recently modified their holdings of the stock. International Assets Investment Management LLC lifted its position in ARM by 14,351.1% in the 3rd quarter. International Assets Investment Management LLC now owns 812,297 shares of the company’s stock valued at $1,161,670,000 after acquiring an additional 806,676 shares in the last quarter. Sei Investments Co. raised 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 purchasing an additional 490,415 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. lifted its holdings in shares of ARM by 186.8% during 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 purchasing an additional 233,909 shares in the last quarter. Franklin Resources Inc. boosted its position in shares of ARM by 21.7% during the third quarter. Franklin Resources Inc. now owns 1,281,484 shares of the company’s stock valued at $183,265,000 after buying an additional 228,467 shares during the last quarter. Finally, Marsico Capital Management LLC bought a new stake in ARM in the 2nd quarter worth about $33,207,000. Hedge funds and other institutional investors own 7.53% of the company’s stock.

ARM Company Profile

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.