UBS Group Issues Pessimistic Forecast for ARM (NASDAQ:ARM) Stock Price

ARM (NASDAQ:ARM) had its price target cut by equities researchers at UBS Group from $470.00 to $360.00 in a research note issued to investors on Monday,Benzinga reports. The firm currently has a “buy” rating on the stock. UBS Group’s target price would indicate a potential upside of 24.25% from the stock’s current price.

ARM has been the subject of several other research reports. Benchmark assumed coverage on shares of ARM in a research report on Thursday, July 16th. They set a “hold” rating for the company. Sanford C. Bernstein set a $500.00 price objective on ARM in a research report on Wednesday, June 17th. Weiss Ratings reiterated a “hold (c)” rating on shares of ARM in a research note on Friday. Morgan Stanley reissued an “equal weight” rating and issued a $150.00 target price (up from $135.00) on shares of ARM in a report on Tuesday, April 7th. Finally, Wells Fargo & Company upped their price target on ARM from $255.00 to $410.00 and gave the company an “overweight” rating in a report on Monday, June 1st. Seventeen equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $300.26.

ARM Stock Up 7.5%

ARM stock opened at $289.73 on Monday. The business has a 50 day moving average of $326.92 and a 200 day moving average of $205.61. The firm has a market cap of $309.45 billion, a PE ratio of 344.92, a price-to-earnings-growth ratio of 9.84 and a beta of 3.76. ARM has a twelve month low of $100.02 and a twelve month high of $452.70.

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

Insider Activity at ARM

In other ARM news, insider William Abbey sold 6,566 shares of the 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 transaction, the insider owned 20,563 shares of the company’s stock, valued at approximately $8,281,131.36. This represents a 24.20% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Jason Child sold 31,920 shares of the firm’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $226.54, for a total value of $7,231,156.80. Following the completion of the transaction, the chief financial officer directly owned 174,232 shares in the company, valued at $39,470,517.28. The trade was a 15.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 217,626 shares of company stock worth $52,415,428.

Hedge Funds Weigh In On ARM

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Syntax Research Inc. bought a new position in ARM in the 1st quarter worth $30,000. Evelyn Partners Investment Management Services Ltd purchased a new position in shares of ARM in the first quarter valued at about $30,000. Allied Private Wealth LLC purchased a new position in shares of ARM in the second quarter valued at about $71,000. FWL Investment Management LLC bought a new position in shares of ARM in the second quarter worth about $34,000. Finally, Cassaday & Co Wealth Management LLC purchased a new position in ARM during the first quarter valued at $40,000. Hedge funds and other institutional investors own 7.53% of the company’s stock.

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.