ARM (NASDAQ:ARM) Trading Up 11.3% After Analyst Upgrade

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) rose 11.3% during mid-day trading on Friday after Bank of America raised their price target on the stock from $245.00 to $335.00. Bank of America currently has a neutral rating on the stock. ARM traded as high as $385.80 and last traded at $380.81. Approximately 16,390,987 shares traded hands during trading, an increase of 88% from the average daily volume of 8,700,093 shares. The stock had previously closed at $342.23.

ARM has been the topic of a number of other research reports. Raymond James Financial restated an “outperform” rating on shares of ARM in a research report on Thursday, May 7th. Wells Fargo & Company raised their target price on shares of ARM from $255.00 to $410.00 and gave the stock an “overweight” rating in a research report on Monday, June 1st. Susquehanna raised their target price on shares of ARM from $170.00 to $210.00 and gave the stock a “positive” rating in a research report on Thursday, April 16th. Morgan Stanley restated an “equal weight” rating and set a $150.00 target price (up from $135.00) on shares of ARM in a research report on Tuesday, April 7th. Finally, Mizuho increased their price target on shares of ARM from $425.00 to $500.00 and gave the stock an “outperform” rating in a research note on Monday. Twenty equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, ARM presently has a consensus rating of “Moderate Buy” and a consensus target price of $239.00.

Insider Activity at ARM

In other ARM news, CAO Laura Kathleen Bartels sold 11,306 shares of the stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $392.70, for a total transaction of $4,439,866.20. Following the transaction, the chief accounting officer owned 12,135 shares of the company’s stock, valued at $4,765,414.50. This trade represents a 48.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Jason Child sold 31,920 shares of the stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $226.54, for a total transaction of $7,231,156.80. Following the transaction, the chief financial officer directly owned 174,232 shares in the company, valued at approximately $39,470,517.28. This represents a 15.48% decrease in their position. The SEC filing for this sale provides additional information. 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 valued at $66,030,158 over the last 90 days.

Key Headlines 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

Hedge Funds Weigh In On ARM

A number of hedge funds have recently made changes to their positions in ARM. Amundi raised its stake in shares of ARM by 24.8% in the 1st quarter. Amundi now owns 11,804 shares of the company’s stock valued at $1,153,000 after acquiring an additional 2,345 shares during the period. Empowered Funds LLC raised its stake in shares of ARM by 28.8% in the 1st quarter. Empowered Funds LLC now owns 4,887 shares of the company’s stock valued at $522,000 after acquiring an additional 1,094 shares during the period. Schnieders Capital Management LLC. raised its stake in shares of ARM by 9.0% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,430 shares of the company’s stock valued at $393,000 after acquiring an additional 200 shares during the period. Bank of Nova Scotia purchased a new position in shares of ARM in the 2nd quarter valued at $556,000. Finally, State Street Corp raised its stake in shares of ARM by 14.7% in the 2nd quarter. State Street Corp now owns 441,445 shares of the company’s stock valued at $71,399,000 after acquiring an additional 56,656 shares during the period. Hedge funds and other institutional investors own 7.53% of the company’s stock.

ARM Trading Up 11.3%

The stock’s 50 day moving average price is $239.31 and its 200 day moving average price is $163.63. The firm has a market cap of $406.74 billion, a PE ratio of 453.35, a P/E/G ratio of 11.17 and a beta of 3.78.

ARM (NASDAQ:ARM) last issued its earnings results on Wednesday, April 1st. The company reported $0.60 EPS for the quarter. ARM had a net margin of 18.37% and a return on equity of 12.43%. The business had revenue of $1.49 billion for the quarter. Analysts forecast that ARM Holdings PLC Sponsored ADR will post 1.12 earnings per share for the current year.

ARM Company Profile

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.