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Last updated 2 minutes ago

ARM·Arm Holdings plc

$.
+. (+.%)
After Hours
High
$325.00
Open
$315.71
Market Cap
326.13B
52W High
$315.00
Low
$300.00
P. Close
$321.53
P/E
360.76
52W Low
$100.02
Fwd P/E
104.76
Mean Target
$232.14
Technical Score (1D)
100
BUY
News Sentiment
75
BULLISH
Arm Holdings has launched its AGI CPU platform, specifically designed for agentic AI workloads in data centers, signaling a strategic push into AI infrastructure. This new platform is seeing significant adoption from major cloud providers and hyperscalers, including Nvidia, and Arm has also deepened its partnership with Red Hat for integrated AI hardware and software solutions. This development positions Arm to capitalize on the growing demand for efficient AI computing, potentially impacting its market share in the CPU space. Investors should watch for further announcements regarding customer adoption and the impact on Arm's revenue streams as these AI solutions are deployed. This initiative comes amid strong analyst optimism, with forecasts predicting substantial CPU market expansion for Arm driven by agentic AI computing demand. Bernstein, for instance, projects ARM's CPU market to quadruple in four years, and TD Cowen has reiterated a Buy rating with an increased price target. Recent financial results also showed a notable increase in net income and revenue for the fourth quarter, further fueling this positive sentiment. However, potential supply constraints have been mentioned as a factor to monitor, which could influence the pace of Arm's growth. Adding a layer of complexity, a recent report indicates the U.S. Federal Trade Commission (FTC) is investigating Arm for alleged monopolistic practices within the semiconductor market. This antitrust probe, detailed in a Bloomberg report, has already impacted Arm's stock price and is being investigated by law firms seeking information from investors. The market will be closely watching developments from the FTC investigation, as any findings could significantly alter the competitive landscape for Arm and its partners.
Earnings Summary
Arm Holdings is a leading designer and licensor of CPU technology, providing essential intellectual property for the semiconductor industry across diverse markets including automotive, computing, consumer electronics, and the Internet of Things. As a subsidiary of SoftBank Group Corp., Arm's business model relies on licensing its core technologies, which are fundamental to billions of devices globally. The company operates within the dynamic Technology sector, specifically the Semiconductors industry, where its IP is crucial for innovation and market competitiveness. In its most recent reported quarter, Q1 2025, Arm reported actual earnings per share (EPS) of $0.55, exceeding its estimate of $0.52362, and generated revenue of $1.241 billion. This follows a strong Q4 2026 performance where Arm achieved EPS of $0.60 against an estimate of $0.588 and revenue of $1.49 billion, slightly beating its estimate of $1.486 billion. While Q1 2025 saw EPS growth compared to the prior year, the company has a mixed beat/miss pattern in EPS over its last four reported quarters, though revenue figures have generally been strong when reported. Looking at its historical trajectory, Arm's year-over-year (YoY) growth has been a key focus for investors. The company has demonstrated a consistent ability to grow revenue, even when EPS figures have faced pressure or missed estimates. For instance, the Q1 2027 earnings report is anticipated, with an estimated EPS of $0.4004 and estimated revenue of $1.275 billion, providing a benchmark for future performance comparisons. The pattern suggests a strong underlying demand for Arm's IP, driving revenue expansion. Recent news highlights significant positive analyst sentiment, with Bernstein initiating 'Outperform' coverage and TD Cowen increasing its price target, driven by Arm's strategic positioning in the AI agent market and its power-efficient CPUs. However, this optimistic outlook is tempered by a U.S. Federal Trade Commission antitrust probe into Arm's licensing and design expansion practices, alongside international scrutiny. This regulatory pressure introduces execution and regulatory risks that could impact the company's traditional licensing model and new ventures. Looking ahead, investors will be closely watching how Arm navigates the ongoing regulatory challenges while continuing to capitalize on the demand for its CPUs in the AI inference market. Key will be the company's ability to maintain its growth narrative and manage potential impacts from the FTC investigation, alongside its planned launch of its own CPU products in 2026.

EPS

EstBeatMiss
$0.37$0.44$0.50$0.57$0.63Q1'25Q4'26Q1'27
QtrEstActual+/−
Q1'27$0.40 - -
Q4'26$0.59$0.60+2.0%
Q1'25$0.52$0.55+5.0%

Revenue

EstBeatMiss
$1.2B$1.3B$1.4B$1.4B$1.5BQ1'25Q4'26Q1'27
QtrEstActual+/−
Q1'27$1.3B - -
Q4'26$1.5B$1.5B+0.3%
Q1'25 - $1.2B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

ARM Stock Snapshot

ARM is currently trading at $321.52, giving Arm Holdings plc a market cap of 326.13B and a P/E ratio of 360.8. Today's range spans $300.00–$325.00, with shares opening at $315.71 and moving down $0.01 (0.0%) from the prior close. DailyIQ's technical score sits at 100/100 (BUY) with a news sentiment reading of 75/100.

Over the past year ARM has traded between $100.02 and $315.00 - the current price is +221.5% off the 52-week low and +2.1% from the high. 45 analysts cover the stock with a Buy consensus and a mean 12-month target of $232.14 (range $125.00–$326.00), implying downside of -27.8%.

Arm Holdings plc (ARM) sits at $321.52 (near 52-week highs within $100.02–$315.00), scoring 100/100 (BUY) with bullish sentiment at 75/100. At 326.13B in Technology market cap (P/E: 360.8), this large-cap is right in the zone where buy-side analysts get excited and allocation committees approve new position additions. A bullish technical phase with sentiment confirmation is the green light most of them are looking for.

What makes ARM's BUY setup (100/100) particularly actionable at 326.13B in Technology capitalization is the scale-to-move ratio: large enough to feature on institutional mandates but not so large that the percentage upside is already compressed by index inertia. At $321.52 (near 52-week highs in $100.02–$315.00), with sentiment running bullish at 75/100, the setup rewards conviction-sized positioning more than it does speculative small bets.