The Goldman Sachs Group Forecasts Strong Price Appreciation for ARM (NASDAQ:ARM) Stock

ARM (NASDAQ:ARM) had its price objective boosted by analysts at The Goldman Sachs Group from $125.00 to $150.00 in a research note issued on Thursday,Benzinga reports. The firm currently has a “sell” rating on the stock. The Goldman Sachs Group’s price objective points to a potential downside of 29.67% from the stock’s previous close.

Several other brokerages have also recently weighed in on ARM. Rosenblatt Securities lifted their price target on ARM from $175.00 to $270.00 and gave the company a “buy” rating in a research report on Thursday. UBS Group reduced their price target on ARM from $175.00 to $170.00 and set a “buy” rating for the company in a research report on Thursday, February 5th. Guggenheim raised their price objective on ARM from $240.00 to $255.00 and gave the company a “buy” rating in a report on Thursday. Mizuho raised their price objective on ARM from $230.00 to $255.00 and gave the company an “outperform” rating in a report on Wednesday. Finally, Citigroup lowered ARM from a “buy” rating to a “hold” rating in a report on Tuesday, January 13th. Nineteen equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $199.61.

ARM Trading Down 0.0%

Shares of ARM stock opened at $213.27 on Thursday. The stock has a 50 day moving average of $154.24 and a 200 day moving average of $138.41. The stock has a market cap of $225.32 billion, a P/E ratio of 253.89, a P/E/G ratio of 9.60 and a beta of 3.40. ARM has a twelve month low of $100.02 and a twelve month high of $239.50.

ARM (NASDAQ:ARM) last announced its quarterly earnings results on Wednesday, April 1st. The company reported $0.60 earnings per share for the quarter. The company 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, research analysts predict that ARM will post 1.18 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Rene A. Haas sold 23,867 shares of ARM stock in a transaction that occurred on Wednesday, March 25th. The stock was sold at an average price of $161.17, for a total transaction of $3,846,644.39. Following the transaction, the chief executive officer owned 290,965 shares in the company, valued at approximately $46,894,829.05. This trade represents a 7.58% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Jason Child sold 21,280 shares of ARM stock in a transaction that occurred on Wednesday, March 25th. The stock was sold at an average price of $148.37, for a total value of $3,157,313.60. Following the transaction, the chief financial officer owned 174,706 shares in the company, valued at approximately $25,921,129.22. The trade was a 10.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 83,712 shares of company stock worth $13,614,730.

Hedge Funds Weigh In On ARM

Several large investors have recently modified their holdings of ARM. Amundi lifted its stake in shares of ARM by 24.8% in the 1st quarter. Amundi now owns 11,804 shares of the company’s stock valued at $1,153,000 after purchasing an additional 2,345 shares during the last quarter. Empowered Funds LLC raised its holdings in shares of ARM by 28.8% in the 1st quarter. Empowered Funds LLC now owns 4,887 shares of the company’s stock valued at $522,000 after buying an additional 1,094 shares during the period. Schnieders Capital Management LLC. raised its holdings in shares of ARM by 9.0% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,430 shares of the company’s stock valued at $393,000 after buying an additional 200 shares during the period. Bank of Nova Scotia purchased a new stake in shares of ARM in the 2nd quarter valued at $556,000. Finally, State Street Corp raised its holdings in shares of ARM by 14.7% in the 2nd quarter. State Street Corp now owns 441,445 shares of the company’s stock valued at $71,399,000 after buying an additional 56,656 shares during the period. Institutional investors and hedge funds own 7.53% of the company’s stock.

Key Headlines Impacting ARM

Here are the key news stories impacting ARM this week:

• Positive Sentiment: ARM reported record quarterly and annual results, with strong AI cloud demand, growing royalty revenue, and early traction for its new AI-focused data-center CPU. Arm’s Record AI Results Test Lofty Valuation And Supply Constraints
• Positive Sentiment: Multiple Wall Street firms raised price targets, citing ARM’s position in agentic AI and CPU growth, including bullish calls from Wells Fargo, Guggenheim, Rosenblatt, Needham, and Goldman Sachs. Analyst price-target updates
• Neutral Sentiment: Management said AI data-center demand is expanding quickly, but the company is still working through how to monetize that demand at scale in the near term. Arm CEO looks to set the record straight after the stock’s post-earnings tumble
• Neutral Sentiment: Arm also made an upbeat long-term forecast for the CPU market, which supports the growth narrative but does not remove near-term execution concerns. Arm Just Made a Bold Prediction, And It Could Be a Huge Buy Signal
• Negative Sentiment: ARM warned that smartphone market weakness could hurt a vital revenue stream, prompting investors to sell the stock despite the earnings beat. Chip Designer Arm Warns of Weakness in the Smartphone Market. Its Stock Is Sinking.
• Negative Sentiment: Investors also reacted to concerns that supply constraints could prevent ARM from meeting surging demand for its new AI chip in the near term. Why Arm Holdings Stock Was Sliding Today

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.