ARM (NASDAQ:ARM) Trading Down 7.9% – Should You Sell?

Shares of Arm Holdings plc (NASDAQ:ARM) were down 7.9% on Thursday . The company traded as low as $162.50 and last traded at $165.80. Approximately 9,814,471 shares were traded during trading, an increase of 48% from the average daily volume of 6,635,503 shares. The stock had previously closed at $179.93.

Analyst Upgrades and Downgrades

A number of research analysts have commented on ARM shares. TD Cowen upped their price objective on ARM from $150.00 to $165.00 and gave the company a “buy” rating in a report on Thursday, November 7th. Needham & Company LLC reaffirmed a “hold” rating on shares of ARM in a report on Thursday, November 7th. Sanford C. Bernstein lowered ARM from a “market perform” rating to an “underperform” rating and set a $100.00 price objective on the stock. in a report on Thursday, October 31st. The Goldman Sachs Group upped their price objective on ARM from $144.00 to $159.00 and gave the company a “buy” rating in a report on Thursday, November 7th. Finally, JPMorgan Chase & Co. upped their price objective on ARM from $140.00 to $160.00 and gave the company an “overweight” rating in a report on Thursday, November 7th. Two analysts have rated the stock with a sell rating, six have given a hold rating, eighteen have given a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $152.09.

ARM Stock Down 8.2 %

The company has a market capitalization of $173.06 billion, a PE ratio of 275.27, a PEG ratio of 7.25 and a beta of 4.53. The company has a 50-day moving average price of $138.72 and a two-hundred day moving average price of $141.01.

ARM (NASDAQ:ARM) last announced its quarterly earnings results on Wednesday, November 6th. The company reported $0.30 earnings per share for the quarter, beating the consensus estimate of $0.26 by $0.04. The company had revenue of $844.00 million during the quarter, compared to analysts’ expectations of $810.03 million. ARM had a return on equity of 13.69% and a net margin of 18.13%. The firm’s quarterly revenue was up 4.7% compared to the same quarter last year. During the same period in the previous year, the business earned $0.36 earnings per share. As a group, equities analysts anticipate that Arm Holdings plc will post 0.84 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. American Century Companies Inc. purchased a new stake in ARM in the 2nd quarter worth approximately $5,885,000. Envestnet Asset Management Inc. lifted its holdings in ARM by 20.0% in the 2nd quarter. Envestnet Asset Management Inc. now owns 37,902 shares of the company’s stock worth $6,202,000 after buying an additional 6,311 shares during the period. Blair William & Co. IL lifted its holdings in ARM by 128.1% in the 2nd quarter. Blair William & Co. IL now owns 5,520 shares of the company’s stock worth $903,000 after buying an additional 3,100 shares during the period. Pacer Advisors Inc. lifted its stake in shares of ARM by 674.8% in the 2nd quarter. Pacer Advisors Inc. now owns 6,493 shares of the company’s stock valued at $1,062,000 after purchasing an additional 5,655 shares during the period. Finally, Ensign Peak Advisors Inc purchased a new position in shares of ARM in the 2nd quarter valued at approximately $4,729,000. Institutional investors own 7.53% of the company’s stock.

About ARM

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.