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

ARM (NASDAQ:ARM) had its price target reduced by TD Cowen from $475.00 to $350.00 in a report released on Thursday,Benzinga reports. TD Cowen currently has a buy rating on the stock.

A number of other equities analysts also recently commented on the stock. Weiss Ratings reaffirmed a “hold (c)” rating on shares of ARM in a report on Friday, July 17th. Guggenheim reiterated a “buy” rating and set a $255.00 target price on shares of ARM in a research report on Thursday. Wells Fargo & Company lowered their target price on shares of ARM from $350.00 to $280.00 and set an “overweight” rating on the stock in a research note on Thursday. Morgan Stanley reissued an “equal weight” rating and issued a $150.00 price target (up from $135.00) on shares of ARM in a research report on Tuesday, April 7th. Finally, Barclays raised their price target on shares of ARM from $250.00 to $360.00 and gave the stock an “overweight” rating in a research note on Monday, June 1st. Eighteen analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $286.17.

ARM Trading Up 8.0%

Shares of NASDAQ ARM opened at $242.85 on Thursday. The business has a fifty day simple moving average of $329.98 and a 200 day simple moving average of $212.71. The firm has a market capitalization of $259.38 billion, a price-to-earnings ratio of 250.36, a PEG ratio of 6.99 and a beta of 3.76. ARM has a one year low of $100.02 and a one year high of $452.70.

ARM (NASDAQ:ARM) last issued its earnings results on Wednesday, July 29th. The company reported $0.45 EPS for the quarter, topping the consensus estimate of $0.40 by $0.05. The firm had revenue of $1.29 billion during the quarter, compared to analysts’ expectations of $1.26 billion. ARM had a return on equity of 12.56% and a net margin of 20.25%.ARM’s quarterly revenue was up 22.4% compared to the same quarter last year. During the same period last year, the business earned $0.35 earnings per share. ARM has set its Q2 2027 guidance at 0.430-0.510 EPS. On average, research analysts anticipate that ARM will post 1.12 earnings per share for the current fiscal year.

Insider Activity

In related news, insider William Abbey sold 6,566 shares of ARM stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $402.72, for a total transaction of $2,644,259.52. Following the completion of the transaction, the insider directly owned 20,563 shares of the company’s stock, valued at $8,281,131.36. This trade represents a 24.20% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Charlotte Claire Eaton sold 7,805 shares of the business’s stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $290.01, for a total transaction of $2,263,528.05. Following the completion of the transaction, the insider owned 5,000 shares in the company, valued at approximately $1,450,050. This trade represents a 60.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 216,049 shares of company stock worth $52,101,605 in the last quarter.

Institutional Trading of ARM

Several large investors have recently added to or reduced their stakes in ARM. GAMMA Investing LLC raised its position in ARM by 18.7% in the 2nd quarter. GAMMA Investing LLC now owns 406 shares of the company’s stock valued at $144,000 after purchasing an additional 64 shares during the last quarter. CreativeOne Wealth LLC grew its holdings in shares of ARM by 5.0% during the fourth quarter. CreativeOne Wealth LLC now owns 1,830 shares of the company’s stock worth $200,000 after purchasing an additional 87 shares during the last quarter. AdvisorNet Financial Inc grew its holdings in shares of ARM by 6.2% during the first quarter. AdvisorNet Financial Inc now owns 1,681 shares of the company’s stock worth $254,000 after purchasing an additional 98 shares during the last quarter. Moors & Cabot Inc. increased its stake in shares of ARM by 5.3% in the third quarter. Moors & Cabot Inc. now owns 2,050 shares of the company’s stock valued at $290,000 after buying an additional 103 shares in the last quarter. Finally, Heritage Trust Co increased its stake in shares of ARM by 5.5% in the fourth quarter. Heritage Trust Co now owns 2,045 shares of the company’s stock valued at $224,000 after buying an additional 107 shares in the last quarter. 7.53% of the stock is owned by institutional investors.

Key ARM News

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Arm reported fiscal Q1 2027 revenue of $1.29 billion, up 22.4% year over year and above analysts’ estimates of approximately $1.26 billion. Adjusted earnings per share of $0.45 also exceeded the $0.40 consensus. Arm shares jump after Q1 revenue, profit beat estimates
• Positive Sentiment: Management issued second-quarter EPS guidance of $0.43 to $0.51, above the $0.39 analyst consensus, while revenue guidance also exceeded expectations. The outlook reflects sustained demand for Arm-based processors in AI data centers and cloud computing. Arm forecasts quarterly revenue above estimates on AI-driven chip demand
• Positive Sentiment: Data-center royalty revenue reportedly doubled, while demand for Arm’s AI and AGI CPU roadmap strengthened. Analysts said the company remains a key beneficiary of long-term AI infrastructure spending, prompting Citi to reaffirm its Buy rating and $300 price target. Arm remains key AI infrastructure beneficiary despite softer handset outlook, Citi says
• Neutral Sentiment: Analyst views remain mixed. Needham reiterated Buy with a $255 target, while TD Cowen and RBC maintained positive ratings but reduced their targets to $350 and $340, respectively. Morgan Stanley raised its target to $212 but retained an Equal Weight rating, implying execution and valuation concerns.
• Negative Sentiment: Smartphone market weakness and memory-price pressures are expected to constrain near-term royalty growth, with second-quarter royalty growth guided at about 13%. Investors also remain cautious because ARM trades at a very high earnings multiple, leaving limited room for disappointing results. 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.