Wells Fargo & Company Forecasts Strong Price Appreciation for ARM (NASDAQ:ARM) Stock

ARM (NASDAQ:ARM) had its price target boosted by equities research analysts at Wells Fargo & Company from $165.00 to $175.00 in a report issued on Wednesday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Wells Fargo & Company‘s target price indicates a potential upside of 13.23% from the stock’s current price.

Several other brokerages also recently commented on ARM. Raymond James Financial upgraded ARM from a “market perform” rating to an “outperform” rating and set a $166.00 price target on the stock in a report on Wednesday, March 25th. Barclays reaffirmed an “overweight” rating and issued a $165.00 target price on shares of ARM in a report on Thursday, March 26th. Weiss Ratings reiterated a “hold (c)” rating on shares of ARM in a report on Wednesday, January 21st. Rosenblatt Securities restated a “buy” rating and issued a $175.00 price objective on shares of ARM in a research note on Wednesday, March 25th. Finally, KeyCorp reiterated an “overweight” rating on shares of ARM in a research note on Thursday, February 5th. Nineteen research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $168.58.

ARM Stock Performance

Shares of NASDAQ:ARM traded up $3.27 during mid-day trading on Wednesday, hitting $154.55. The stock had a trading volume of 4,466,704 shares, compared to its average volume of 6,859,250. The company’s 50 day moving average is $123.98 and its 200-day moving average is $134.04. ARM has a 12-month low of $80.00 and a 12-month high of $183.16. The company has a market cap of $163.28 billion, a PE ratio of 205.99, a P/E/G ratio of 8.65 and a beta of 4.11.

ARM (NASDAQ:ARM) last posted its quarterly earnings results on Thursday, February 5th. The company reported $0.43 earnings per share 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 firm had revenue of $1.24 billion for the quarter, compared to analyst estimates of $1.23 billion. During the same period 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. On average, equities research analysts predict that ARM will post 0.9 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Rene A. Haas sold 7,986 shares of the firm’s stock in a transaction dated Thursday, March 26th. The shares were sold at an average price of $160.86, for a total transaction of $1,284,627.96. Following the completion of the transaction, the chief executive officer directly owned 282,979 shares of the company’s stock, valued at approximately $45,520,001.94. This trade represents a 2.74% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Jason Child sold 21,280 shares of ARM stock in a transaction dated Wednesday, March 25th. The shares were sold at an average price of $148.37, for a total transaction of $3,157,313.60. Following the sale, the chief financial officer owned 174,706 shares in the company, valued at approximately $25,921,129.22. This trade represents a 10.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 53,133 shares of company stock worth $8,288,586.

Institutional Trading of ARM

Hedge funds have recently modified their holdings of the company. Amundi boosted its holdings in shares of ARM by 24.8% in the 1st quarter. Amundi now owns 11,804 shares of the company’s stock worth $1,153,000 after acquiring an additional 2,345 shares in the last quarter. Empowered Funds LLC raised its position in 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 purchasing an additional 1,094 shares during the last quarter. Schnieders Capital Management LLC. boosted its stake in ARM by 9.0% in the second quarter. Schnieders Capital Management LLC. now owns 2,430 shares of the company’s stock worth $393,000 after purchasing an additional 200 shares in the last quarter. Russell Investments Group Ltd. grew its holdings in shares of ARM by 202.3% during the second quarter. Russell Investments Group Ltd. now owns 23,480 shares of the company’s stock worth $3,798,000 after purchasing an additional 15,712 shares during the last quarter. Finally, Beacon Pointe Advisors LLC bought a new stake in shares of ARM during the second quarter worth $277,000. Institutional investors and hedge funds 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.