ARM (NASDAQ:ARM) Shares Gap Down – Here’s What Happened

Shares of ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) gapped down prior to trading on Monday . The stock had previously closed at $130.89, but opened at $126.38. ARM shares last traded at $126.0280, with a volume of 2,218,833 shares.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on ARM shares. The Goldman Sachs Group downgraded shares of ARM from a “neutral” rating to a “sell” rating and dropped their target price for the company from $160.00 to $120.00 in a report on Monday. JPMorgan Chase & Co. raised their price objective on shares of ARM from $175.00 to $180.00 and gave the stock an “overweight” rating in a report on Thursday, November 6th. Needham & Company LLC reiterated a “hold” rating on shares of ARM in a research note on Thursday, November 6th. Rosenblatt Securities restated a “buy” rating and set a $180.00 price target on shares of ARM in a research note on Thursday, November 6th. Finally, KeyCorp boosted their price target on ARM from $190.00 to $200.00 and gave the company an “overweight” rating in a research report on Thursday, November 6th. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $177.80.

ARM Price Performance

The stock’s 50-day moving average is $152.35 and its 200-day moving average is $147.55. The stock has a market cap of $133.15 billion, a price-to-earnings ratio of 161.41, a price-to-earnings-growth ratio of 7.84 and a beta of 4.24.

ARM (NASDAQ:ARM) last released its earnings results on Wednesday, November 5th. The company reported $0.39 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.33 by $0.06. The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.06 billion. ARM had a net margin of 18.81% and a return on equity of 15.03%. ARM’s revenue was up 34.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.30 earnings per share. ARM has set its Q3 2026 guidance at 0.370-0.450 EPS. Analysts predict that ARM Holdings PLC Sponsored ADR will post 0.9 EPS for the current fiscal year.

Institutional Investors Weigh In On ARM

Institutional investors have recently bought and sold shares of the business. GAMMA Investing LLC increased its holdings in ARM by 126.0% in the 3rd quarter. GAMMA Investing LLC now owns 174 shares of the company’s stock valued at $25,000 after purchasing an additional 97 shares in the last quarter. Brooklyn Investment Group acquired a new position in shares of ARM during the first quarter worth $28,000. Grey Fox Wealth Advisors LLC purchased a new position in shares of ARM in the third quarter valued at $28,000. Huntington National Bank purchased a new stake in ARM during the 2nd quarter worth $30,000. Finally, FWL Investment Management LLC acquired a new position in ARM in the 2nd quarter worth $34,000. 7.53% of the stock is currently owned by hedge funds and other institutional investors.

ARM Company Profile

Arm Holdings Plc engages in the licensing, marketing, research, and development of microprocessors, systems IP, graphics processing units, physical IP and associated systems IP, software, and tools. It operates through the following geographical segments: United Kingdom, United States, and Other Countries.