ARM (NASDAQ:ARM) Stock Rating Upgraded by Raymond James Financial

ARM (NASDAQ:ARM) was upgraded by analysts at Raymond James Financial from a “market perform” rating to an “outperform” rating in a report issued on Wednesday, Marketbeat Ratings reports. The brokerage currently has a $166.00 price target on the stock. Raymond James Financial’s target price would suggest a potential upside of 7.24% from the stock’s current price.

ARM has been the topic of a number of other reports. Citigroup downgraded shares of ARM from a “buy” rating to a “hold” rating in a report on Tuesday, January 13th. JPMorgan Chase & Co. lowered their target price on shares of ARM from $180.00 to $145.00 and set an “overweight” rating for the company in a report on Thursday, February 5th. Evercore dropped their price target on shares of ARM from $215.00 to $170.00 and set an “outperform” rating on the stock in a research report on Thursday, February 5th. Benchmark restated a “hold” rating on shares of ARM in a report on Thursday, February 5th. Finally, Oddo Bhf set a $170.00 price objective on shares of ARM in a research report on Monday, January 5th. Nineteen analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $168.17.

ARM Stock Down 1.4%

Shares of ARM stock opened at $154.80 on Wednesday. ARM has a 52 week low of $80.00 and a 52 week high of $183.16. The business has a 50 day moving average price of $121.71 and a 200-day moving average price of $134.31. The company has a market cap of $163.55 billion, a PE ratio of 206.40, a price-to-earnings-growth ratio of 10.84 and a beta of 4.11.

ARM (NASDAQ:ARM) last announced its earnings results on Wednesday, February 4th. The company reported $0.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.41 by $0.02. ARM had a return on equity of 14.01% and a net margin of 17.15%.The company had revenue of $1.24 billion for the quarter, compared to analysts’ expectations of $1.23 billion. During the same quarter in the previous year, the firm earned $0.39 earnings per share. ARM’s quarterly revenue was up 26.3% on a year-over-year basis. ARM has set its Q4 2026 guidance at 0.540-0.620 EPS. As a group, research analysts anticipate that ARM will post 0.9 EPS for the current year.

Institutional Trading of ARM

Several hedge funds have recently made changes to their positions in ARM. Capital Research Global Investors purchased a new position in shares of ARM during the 3rd quarter valued at $243,098,000. Northwestern Mutual Wealth Management Co. increased its holdings in ARM by 2,623.5% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,671,787 shares of the company’s stock worth $182,743,000 after acquiring an additional 1,610,403 shares during the last quarter. Hyperion Asset Management Ltd purchased a new stake in ARM in the 3rd quarter worth about $202,980,000. Schroder Investment Management Group raised its stake in ARM by 41.7% in the 2nd quarter. Schroder Investment Management Group now owns 4,745,957 shares of the company’s stock valued at $767,611,000 after acquiring an additional 1,396,684 shares during the period. Finally, Employees Provident Fund Board purchased a new stake in ARM during the fourth quarter valued at about $120,241,000. 7.53% of the stock is currently owned by institutional investors.

More ARM News

Here are the key news stories impacting ARM this week:

• Positive Sentiment: Arm unveiled the AGI CPU (first-ever in-house chip) and gave long-range revenue guidance that repositions the company from licensor to direct silicon seller — a transformational growth narrative. Arm’s New Gambit: Building Chips to Challenge the AI Titans
• Positive Sentiment: Meta signed on as the launch/customer partner for the new CPU, which materially de‑risks commercialization and provides an early scale buyer. Arm jumps 13% in premarket after saying first in-house chip set to generate $15 billion in revenue
• Positive Sentiment: Analysts have moved quickly to upgrade and raise targets (Needham upgraded to Buy with a $200 target; multiple firms raised PTs), signaling higher earnings and valuation expectations if execution succeeds. Arm Stock Upgraded After Move from Blueprints to Silicon. A ‘Credible AI Play’ Is Born.
• Neutral Sentiment: Technical/market metrics show momentum—Relative Strength rating jumped—indicating institutional interest, but that can also amplify volatility after a big gap-up. Arm Holdings Stock Sees Relative Strength Rating Jump To 87
• Neutral Sentiment: Unusually large call-option activity accompanied the rally — bullish interest but also a potential source of short-term gamma-driven moves. (Market commentary summarized across reports.)
• Negative Sentiment: Major outlets and strategists warn execution risk: moving from IP licensing to manufacturing/sales is complex and the stock’s high valuation already prices in substantial success; failure or delays would pressure shares. Arm’s Timing Is Good, but Big Chip Move Now Has to Go Perfectly
• Negative Sentiment: After Wednesday’s surge (big one‑day gains), profit-taking and overbought indicators triggered a pullback today — typical after a rapid re‑rating. Arm jumps as new AI chip to drive billions annual revenue

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.