Insider Selling: ARM (NASDAQ:ARM) Insider Sells $1,487,850.00 in Stock

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) insider William Abbey sold 7,000 shares of the firm’s stock in a transaction on Friday, May 15th. The stock was sold at an average price of $212.55, for a total value of $1,487,850.00. Following the completion of the sale, the insider directly owned 57,394 shares of the company’s stock, valued at approximately $12,199,094.70. This trade represents a 10.87% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

William Abbey also recently made the following trade(s):

• On Wednesday, May 20th, William Abbey sold 5,069 shares of ARM stock. The stock was sold at an average price of $257.18, for a total value of $1,303,645.42.
• On Tuesday, May 19th, William Abbey sold 10,887 shares of ARM stock. The stock was sold at an average price of $224.14, for a total value of $2,440,212.18.
• On Thursday, April 23rd, William Abbey sold 1,577 shares of ARM stock. The stock was sold at an average price of $199.00, for a total value of $313,823.00.

ARM Stock Up 16.2%

Shares of ARM stock opened at $298.23 on Friday. The stock has a market cap of $315.08 billion, a PE ratio of 355.04, a price-to-earnings-growth ratio of 9.32 and a beta of 3.40. ARM Holdings PLC Sponsored ADR has a 12 month low of $100.02 and a 12 month high of $298.70. The business has a fifty day simple moving average of $175.32 and a 200-day simple moving average of $142.53.

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

ARM News Roundup

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Jefferies said Nvidia’s bullish comments on its Arm-based Vera CPU business are a positive signal for ARM, reiterating a Buy rating and $290 price target. Article: Nvidia CPU comments read positively for this chip stock: analyst
• Positive Sentiment: Bernstein initiated coverage with an Outperform rating and a $300 price target, highlighting Arm’s upside in CPUs and chip IP as AI infrastructure spending grows. Article: What Is Going On With Arm Stock On Wednesday?
• Positive Sentiment: Multiple reports said ARM rallied on renewed AI optimism, with investors viewing the company as a core pick in custom silicon and AI-related semiconductor spending. Article: Why Arm Holdings Stock Surged to an All-Time High Today
• Neutral Sentiment: Several insiders, including CFO Jason Child, disclosed stock sales. Some were tied to pre-arranged 10b5-1 plans or tax withholding on vested awards, so they are not necessarily a negative operating signal.
• Neutral Sentiment: There is also ongoing chatter about a possible U.S. antitrust probe, which adds uncertainty but is still early-stage and not a confirmed finding.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on ARM shares. HSBC raised shares of ARM from a “reduce” rating to a “buy” rating and lifted their target price for the company from $90.00 to $205.00 in a research note on Friday, March 20th. Mizuho lifted their target price on shares of ARM from $230.00 to $255.00 and gave the company an “outperform” rating in a research note on Wednesday, May 6th. Weiss Ratings reissued a “hold (c)” rating on shares of ARM in a research note on Monday, April 20th. KeyCorp reissued an “overweight” rating on shares of ARM in a research note on Thursday, February 5th. Finally, Rosenblatt Securities upped their target price on ARM from $175.00 to $270.00 and gave the stock a “buy” rating in a research report on Thursday, May 7th. Twenty 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 company’s stock. Based on data from MarketBeat.com, ARM presently has a consensus rating of “Moderate Buy” and an average target price of $208.79.

Institutional Trading of ARM

Institutional investors have recently added to or reduced their stakes in the business. Morgan Stanley increased its position in ARM by 1.2% during the fourth quarter. Morgan Stanley now owns 3,783,006 shares of the company’s stock worth $413,521,000 after buying an additional 45,314 shares during the last quarter. Invesco Ltd. increased its position in ARM by 36.9% during the fourth quarter. Invesco Ltd. now owns 2,426,850 shares of the company’s stock worth $265,279,000 after buying an additional 654,727 shares during the last quarter. Coatue Management LLC increased its position in ARM by 1.8% during the fourth quarter. Coatue Management LLC now owns 2,300,000 shares of the company’s stock worth $251,413,000 after buying an additional 40,174 shares during the last quarter. Wellington Management Group LLP increased its position in ARM by 41.6% during the fourth quarter. Wellington Management Group LLP now owns 2,149,159 shares of the company’s stock worth $234,925,000 after buying an additional 631,576 shares during the last quarter. Finally, Schroder Investment Management Group increased its position in ARM by 11.0% during the fourth quarter. Schroder Investment Management Group now owns 1,891,310 shares of the company’s stock worth $206,739,000 after buying an additional 187,035 shares during the last quarter. 7.53% of the stock is currently owned by institutional investors and hedge funds.

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.