ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) Receives $230.04 Consensus Target Price from Analysts

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) has been given an average rating of “Moderate Buy” by the twenty-seven research firms that are covering the company, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, six have given a hold rating and twenty have given a buy rating to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $239.00.

Several analysts have recently commented on the company. Raymond James Financial restated an “outperform” rating on shares of ARM in a report on Thursday, May 7th. Deutsche Bank Aktiengesellschaft restated a “hold” rating on shares of ARM in a report on Thursday, May 7th. HSBC upgraded ARM from a “reduce” rating to a “buy” rating and increased their target price for the stock from $90.00 to $205.00 in a report on Friday, March 20th. Morgan Stanley restated an “equal weight” rating and set a $150.00 target price (up from $135.00) on shares of ARM in a report on Tuesday, April 7th. Finally, Rosenblatt Securities increased their target price on ARM from $175.00 to $270.00 and gave the stock a “buy” rating in a report on Thursday, May 7th.

Insiders Place Their Bets

In related news, insider Charlotte Claire Eaton sold 4,000 shares of the firm’s stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $282.77, for a total value of $1,131,080.00. Following the transaction, the insider owned 7,805 shares in the company, valued at $2,207,019.85. This trade represents a 33.88% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Jason Child sold 31,920 shares of the firm’s stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $226.54, for a total value of $7,231,156.80. Following the completion of the transaction, the chief financial officer owned 174,232 shares in the company, valued at approximately $39,470,517.28. This represents a 15.48% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 301,338 shares of company stock worth $66,030,158 over the last ninety days.

Hedge Funds Weigh In On ARM

Several hedge funds have recently added to or reduced their stakes in the company. Morgan Stanley boosted its holdings in ARM by 1.2% in the fourth quarter. Morgan Stanley now owns 3,783,006 shares of the company’s stock valued at $413,521,000 after acquiring an additional 45,314 shares during the last quarter. Invesco Ltd. lifted its stake in ARM by 36.9% in the fourth quarter. Invesco Ltd. now owns 2,426,850 shares of the company’s stock valued at $265,279,000 after buying an additional 654,727 shares during the period. Coatue Management LLC lifted its stake in ARM by 1.8% in the fourth quarter. Coatue Management LLC now owns 2,300,000 shares of the company’s stock valued at $251,413,000 after buying an additional 40,174 shares during the period. Wellington Management Group LLP lifted its stake in ARM by 41.6% in the fourth quarter. Wellington Management Group LLP now owns 2,149,159 shares of the company’s stock valued at $234,925,000 after buying an additional 631,576 shares during the period. Finally, Schroder Investment Management Group lifted its holdings in shares of ARM by 11.0% during the 4th quarter. Schroder Investment Management Group now owns 1,891,310 shares of the company’s stock valued at $206,739,000 after purchasing an additional 187,035 shares in the last quarter. Institutional investors own 7.53% of the company’s stock.

Key Stories Impacting ARM

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Arm shares rallied after multiple Wall Street firms lifted price targets and highlighted growing demand tied to “agentic AI,” data-center CPUs, and broader AI infrastructure opportunities. Arm Holdings Rallies As Agentic AI Spark Triggers Wave Of Wall Street Upgrades
• Positive Sentiment: Bank of America raised its price target on Arm, reinforcing the view that the company’s licensing model and expanding AI chip opportunities could support further upside. Benzinga report on BofA target increase
• Positive Sentiment: New coverage describing Arm as a leading pure-play on agentic AI infrastructure helped fuel investor enthusiasm, with some commentary suggesting the stock still has long-term AI upside despite a recent run-up. Is Arm Holdings plc (ARM) A Good Stock To Buy Now?
• Neutral Sentiment: Arm also unveiled new mobile graphics technology, including an Android DLSS-style feature and Unreal Engine MegaLights support, which showcases product innovation but is not yet a direct earnings driver. Arm is bringing Android its own version of DLSS – game with Unreal MegaLights will show it off
• Negative Sentiment: Fresh reporting that the FTC is investigating Arm’s licensing practices could create regulatory overhang, especially as the company expands beyond IP licensing into chip-related initiatives. FTC Probe Puts Arm Licensing Model And AGI CPU Plans In Focus

ARM Price Performance

Shares of NASDAQ:ARM opened at $380.81 on Wednesday. The business’s fifty day moving average price is $243.82 and its two-hundred day moving average price is $165.36. ARM has a fifty-two week low of $100.02 and a fifty-two week high of $427.99. The stock has a market capitalization of $406.74 billion, a price-to-earnings ratio of 453.35, a price-to-earnings-growth ratio of 13.83 and a beta of 3.77.

ARM (NASDAQ:ARM) last announced its quarterly earnings results on Wednesday, April 1st. The company reported $0.60 earnings per share for the quarter. The firm had revenue of $1.49 billion for the quarter. ARM had a return on equity of 12.43% and a net margin of 18.37%. Research analysts expect that ARM will post 1.12 EPS for the current fiscal year.

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.