ARM (NASDAQ:ARM) Upgraded at Royal Bank Of Canada

ARM (NASDAQ:ARM) was upgraded by Royal Bank Of Canada to a “moderate buy” rating in a research note issued on Wednesday, MarketBeat reports.

A number of other equities analysts also recently issued reports on the company. The Goldman Sachs Group downgraded ARM from a “neutral” rating to a “sell” rating and dropped their price target for the stock from $160.00 to $120.00 in a research note on Monday, December 15th. Bank of America reissued a “neutral” rating and issued a $120.00 target price on shares of ARM in a report on Tuesday. Barclays raised their target price on ARM from $115.00 to $165.00 and gave the stock an “overweight” rating in a research report on Thursday, November 6th. Rosenblatt Securities reaffirmed a “buy” rating and set a $180.00 price target on shares of ARM in a research report on Thursday, November 6th. Finally, Needham & Company LLC reiterated a “hold” rating on shares of ARM in a research note on Thursday, November 6th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $175.05.

ARM Price Performance

ARM stock opened at $105.11 on Wednesday. ARM has a one year low of $80.00 and a one year high of $183.16. The business’s fifty day moving average is $126.29 and its 200 day moving average is $142.71. The stock has a market capitalization of $111.05 billion, a PE ratio of 134.76, a price-to-earnings-growth ratio of 6.29 and a beta of 4.34.

ARM (NASDAQ:ARM) last announced its quarterly 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. ARM had a net margin of 18.81% and a return on equity of 15.03%. The firm had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.06 billion. During the same quarter last year, the firm posted $0.30 EPS. The business’s quarterly revenue was up 34.5% compared to the same quarter last year. ARM has set its Q3 2026 guidance at 0.370-0.450 EPS. As a group, sell-side analysts expect that ARM will post 0.9 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in ARM. Empirical Financial Services LLC d.b.a. Empirical Wealth Management increased its holdings in ARM by 18.0% in the 4th quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 3,096 shares of the company’s stock worth $338,000 after acquiring an additional 473 shares in the last quarter. Spirit of America Management Corp NY boosted its position in shares of ARM by 36.8% in the fourth quarter. Spirit of America Management Corp NY now owns 1,300 shares of the company’s stock worth $142,000 after purchasing an additional 350 shares during the period. Hennion & Walsh Asset Management Inc. boosted its position in shares of ARM by 25.7% in the fourth quarter. Hennion & Walsh Asset Management Inc. now owns 3,022 shares of the company’s stock worth $330,000 after purchasing an additional 618 shares during the period. Exchange Traded Concepts LLC increased its stake in shares of ARM by 105.7% in the fourth quarter. Exchange Traded Concepts LLC now owns 82,272 shares of the company’s stock worth $8,993,000 after purchasing an additional 42,276 shares in the last quarter. Finally, Defender Capital LLC. bought a new stake in shares of ARM during the 4th quarter valued at $11,034,000. 7.53% of the stock is currently owned by institutional investors.

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.