ARM (NASDAQ:ARM) Shares Gap Down – What’s Next?

Arm Holdings plc (NASDAQ:ARM) shares gapped down prior to trading on Thursday . The stock had previously closed at $173.26, but opened at $162.00. ARM shares last traded at $165.79, with a volume of 2,917,892 shares.

Wall Street Analysts Forecast Growth

ARM has been the topic of several recent research reports. Mizuho boosted their price target on shares of ARM from $160.00 to $180.00 and gave the company an “outperform” rating in a research report on Thursday. TD Cowen boosted their target price on shares of ARM from $150.00 to $165.00 and gave the company a “buy” rating in a report on Thursday, November 7th. The Goldman Sachs Group increased their price target on shares of ARM from $159.00 to $174.00 and gave the company a “buy” rating in a research note on Thursday. UBS Group initiated coverage on shares of ARM in a research report on Monday, November 25th. They set a “buy” rating and a $160.00 price target on the stock. Finally, Susquehanna increased their price objective on ARM from $118.00 to $140.00 and gave the stock a “neutral” rating in a research report on Wednesday, January 22nd. Two analysts have rated the stock with a sell rating, six have given a hold rating, nineteen have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $162.17.

ARM Stock Down 3.0 %

The firm has a market cap of $170.28 billion, a PE ratio of 270.85, a price-to-earnings-growth ratio of 7.46 and a beta of 4.56. The business has a 50-day moving average price of $144.69 and a two-hundred day moving average price of $139.99.

ARM (NASDAQ:ARM) last posted its quarterly earnings results on Wednesday, November 6th. The company reported $0.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.26 by $0.04. The company had revenue of $844.00 million for the quarter, compared to analyst estimates of $810.03 million. ARM had a return on equity of 13.69% and a net margin of 18.13%. ARM’s revenue for the quarter was up 4.7% compared to the same quarter last year. During the same quarter last year, the company earned $0.36 EPS. On average, equities research analysts predict that Arm Holdings plc will post 0.84 earnings per share for the current fiscal year.

Institutional Trading of ARM

Hedge funds have recently added to or reduced their stakes in the company. Modus Advisors LLC grew its holdings in ARM by 300.2% during the 4th quarter. Modus Advisors LLC now owns 17,935 shares of the company’s stock worth $2,212,000 after acquiring an additional 13,453 shares in the last quarter. KP Management LLC boosted its holdings in ARM by 28.6% in the third quarter. KP Management LLC now owns 45,000 shares of the company’s stock valued at $6,435,000 after purchasing an additional 10,000 shares in the last quarter. XTX Topco Ltd increased its stake in ARM by 150.1% in the third quarter. XTX Topco Ltd now owns 6,486 shares of the company’s stock valued at $928,000 after purchasing an additional 3,893 shares during the last quarter. Willner & Heller LLC raised its holdings in ARM by 193.7% during the third quarter. Willner & Heller LLC now owns 6,799 shares of the company’s stock worth $972,000 after purchasing an additional 4,484 shares in the last quarter. Finally, Avalon Global Asset Management LLC purchased a new stake in shares of ARM during the 3rd quarter worth approximately $8,581,000. Institutional investors and hedge funds 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.