ARM (NASDAQ:ARM) Stock Price Down 5.4% – What’s Next?

Shares of ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) were down 5.4% on Wednesday . The stock traded as low as $304.11 and last traded at $307.43. Approximately 7,910,602 shares changed hands during mid-day trading, a decline of 8% from the average daily volume of 8,636,422 shares. The stock had previously closed at $324.86.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on ARM shares. Rosenblatt Securities upped their price target on ARM from $175.00 to $270.00 and gave the stock a “buy” rating in a research note on Thursday, May 7th. Sanford C. Bernstein started coverage on ARM in a report on Monday, May 18th. They issued an “outperform” rating and a $300.00 target price on the stock. TD Cowen increased their target price on ARM from $165.00 to $265.00 and gave the stock a “buy” rating in a research note on Thursday, May 7th. The Goldman Sachs Group increased their target price on ARM from $125.00 to $150.00 and gave the stock a “sell” rating in a research note on Thursday, May 7th. Finally, Raymond James Financial reissued an “outperform” rating on shares of ARM in a research note on Thursday, May 7th. Twenty equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, ARM currently has an average rating of “Moderate Buy” and a consensus price target of $230.04.

ARM Stock Down 5.4%

The business has a fifty day simple moving average of $232.08 and a two-hundred day simple moving average of $160.91. The company has a market cap of $328.16 billion, a P/E ratio of 365.76, a P/E/G ratio of 12.58 and a beta of 3.78.

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

Insider Buying and Selling

In other ARM news, insider William Abbey sold 6,566 shares of the company’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $402.72, for a total value of $2,644,259.52. Following the completion of the sale, the insider owned 20,563 shares in the company, valued at $8,281,131.36. This represents a 24.20% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Charlotte Claire Eaton sold 4,000 shares of the company’s stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $282.77, for a total value of $1,131,080.00. Following the completion of the sale, the insider owned 7,805 shares of the company’s stock, valued at approximately $2,207,019.85. The trade was a 33.88% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 301,338 shares of company stock worth $66,030,158.

Institutional Trading of ARM

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Syntax Research Inc. purchased a new stake in shares of ARM during the first quarter worth about $30,000. Evelyn Partners Investment Management Services Ltd purchased a new stake in shares of ARM during the first quarter worth about $30,000. Mcguire Capital Advisors Inc. purchased a new stake in shares of ARM during the fourth quarter worth about $30,000. Navalign LLC purchased a new stake in shares of ARM during the fourth quarter worth about $33,000. Finally, FWL Investment Management LLC purchased a new stake in shares of ARM during the second quarter worth about $34,000. Hedge funds and other institutional investors own 7.53% of the company’s stock.

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.