Bank of America Issues Pessimistic Forecast for ARM (NASDAQ:ARM) Stock Price

ARM (NASDAQ:ARM) had its price target reduced by equities research analysts at Bank of America from $205.00 to $145.00 in a report released on Tuesday,Benzinga reports. The firm currently has a “buy” rating on the stock. Bank of America‘s target price points to a potential upside of 26.55% from the stock’s previous close.

Other equities research analysts have also recently issued research reports about the company. Benchmark reiterated a “hold” rating on shares of ARM in a research note on Thursday, November 6th. Cowen restated a “buy” rating on shares of ARM in a report on Thursday, November 6th. JPMorgan Chase & Co. upped their price target on shares of ARM from $175.00 to $180.00 and gave the stock an “overweight” rating in a research report on Thursday, November 6th. Needham & Company LLC reissued a “hold” rating on shares of ARM in a research report on Thursday, November 6th. Finally, Wells Fargo & Company boosted their price objective on shares of ARM from $190.00 to $195.00 and gave the stock an “overweight” rating in a research note on Thursday, November 6th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $178.30.

ARM Price Performance

ARM stock opened at $114.58 on Tuesday. The company has a market cap of $121.05 billion, a price-to-earnings ratio of 146.90, a P/E/G ratio of 7.25 and a beta of 4.23. The firm has a 50-day moving average of $149.90 and a 200-day moving average of $147.28. ARM has a one year low of $80.00 and a one year high of $183.16.

ARM (NASDAQ:ARM) last released its earnings results on Wednesday, November 5th. The company reported $0.39 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.33 by $0.06. ARM had a return on equity of 15.03% and a net margin of 18.81%.The business had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.06 billion. During the same quarter in the previous year, the business earned $0.30 earnings per share. ARM’s quarterly revenue was up 34.5% on a year-over-year basis. ARM has set its Q3 2026 guidance at 0.370-0.450 EPS. As a group, sell-side analysts expect that ARM will post 0.9 earnings per share for the current year.

Institutional Trading of ARM

Several hedge funds and other institutional investors have recently modified their holdings of the stock. GAMMA Investing LLC raised its holdings in ARM by 126.0% in the 3rd quarter. GAMMA Investing LLC now owns 174 shares of the company’s stock valued at $25,000 after acquiring an additional 97 shares during the period. Brooklyn Investment Group bought a new stake in shares of ARM during the first quarter worth approximately $28,000. Grey Fox Wealth Advisors LLC acquired a new position in shares of ARM in the third quarter valued at approximately $28,000. Huntington National Bank bought a new position in shares of ARM during the second quarter worth approximately $30,000. Finally, FWL Investment Management LLC bought a new position in shares of ARM during the second quarter worth approximately $34,000. Institutional investors own 7.53% of the company’s stock.

ARM Company Profile

Arm Holdings Plc engages in the licensing, marketing, research, and development of microprocessors, systems IP, graphics processing units, physical IP and associated systems IP, software, and tools. It operates through the following geographical segments: United Kingdom, United States, and Other Countries.