ARM (NASDAQ:ARM) Given New $350.00 Price Target at TD Cowen

ARM (NASDAQ:ARM) had its price target cut by investment analysts at TD Cowen from $475.00 to $350.00 in a research report issued on Thursday,Benzinga reports. The firm currently has a “buy” rating on the stock. TD Cowen’s price objective points to a potential upside of 46.66% from the company’s current price.

A number of other brokerages have also recently weighed in on ARM. HSBC cut shares of ARM from a “buy” rating to a “hold” rating and boosted their price target for the company from $255.00 to $315.00 in a research report on Tuesday, July 14th. Raymond James Financial reaffirmed an “outperform” rating on shares of ARM in a report on Thursday, May 7th. The Goldman Sachs Group boosted their target price on ARM from $125.00 to $150.00 and gave the company a “sell” rating in a report on Thursday, May 7th. Susquehanna upped their target price on ARM from $300.00 to $320.00 and gave the company a “positive” rating in a research report on Tuesday, July 21st. Finally, Bank of America restated a “neutral” rating on shares of ARM in a research note on Thursday. Eighteen research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $281.92.

ARM Price Performance

Shares of ARM traded up $13.75 during mid-day trading on Thursday, reaching $238.64. The company’s stock had a trading volume of 7,216,496 shares, compared to its average volume of 8,564,271. ARM has a 12-month low of $100.02 and a 12-month high of $452.70. The stock has a market cap of $254.89 billion, a PE ratio of 278.52, a price-to-earnings-growth ratio of 7.61 and a beta of 3.76. The company’s 50 day moving average is $331.09 and its 200 day moving average is $211.79.

ARM (NASDAQ:ARM) last announced its quarterly earnings results on Thursday, July 30th. The company reported $0.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.40 by $0.05. ARM had a return on equity of 12.43% and a net margin of 18.37%.The firm had revenue of $1.29 billion during the quarter, compared to the consensus estimate of $1.26 billion. During the same period in the prior year, the company posted $0.35 earnings per share. The firm’s quarterly revenue was up 22.4% compared to the same quarter last year. As a group, sell-side analysts anticipate that ARM will post 1.12 EPS for the current fiscal year.

Insider Activity

In related news, CAO Laura Kathleen Bartels sold 11,306 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $392.70, for a total value of $4,439,866.20. Following the transaction, the chief accounting officer owned 12,135 shares in the company, valued at $4,765,414.50. The trade was a 48.23% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, CFO Jason Child sold 31,920 shares of the company’s stock in a transaction that occurred on 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 sale, the chief financial officer directly owned 174,232 shares of the company’s stock, valued at approximately $39,470,517.28. This represents a 15.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 216,049 shares of company stock valued at $52,101,605.

Hedge Funds Weigh In On ARM

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Syntax Research Inc. acquired a new position in ARM in the 1st quarter valued at $30,000. Evelyn Partners Investment Management Services Ltd acquired a new position in shares of ARM during the first quarter worth about $30,000. Mcguire Capital Advisors Inc. acquired a new position in ARM during the 4th quarter worth approximately $30,000. Navalign LLC purchased a new position in shares of ARM during the 4th quarter worth approximately $33,000. Finally, FWL Investment Management LLC purchased a new position in shares of ARM during the 2nd quarter worth approximately $34,000. 7.53% of the stock is currently owned by hedge funds and other institutional investors.

More ARM News

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Arm reported record fiscal Q1 revenue of $1.29 billion, up 22.4% year over year and ahead of consensus estimates near $1.26 billion. Adjusted EPS of $0.45 also exceeded the $0.40 estimate. Arm shares jump after Q1 revenue, profit beat estimates
• Positive Sentiment: Management issued second-quarter EPS guidance of $0.43–$0.51, above the $0.39 analyst consensus, and forecast revenue above Wall Street expectations. This signals continued momentum despite supply constraints. Arm forecasts quarterly revenue above estimates on AI-driven chip demand
• Positive Sentiment: AI infrastructure remains the key growth driver. Data-center royalty revenue reportedly doubled, while demand for Arm’s AI and AGI CPU roadmap is accelerating as cloud providers develop custom chips. ARM Q1 Earnings Call Highlights AI CPU Demand and Data Center Growth
• Positive Sentiment: Needham reaffirmed its Buy rating and assigned a $255 price target, indicating further potential upside based on the AI-driven growth outlook.
• Neutral Sentiment: The stock’s valuation remains demanding, with a reported P/E ratio above 280 and a high beta, leaving shares sensitive to any guidance or execution disappointment.
• Negative Sentiment: Investors remain concerned that second-quarter royalty growth is expected to be about 13%, reflecting weakness in smartphones and the impact of lower memory prices. These issues could temper the conversion of AI demand into near-term royalty revenue. Memory Prices Hit Arm’s Royalties as Stock Falls 4%

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.