Fmr LLC Reduces Stake in Arm Holdings plc

Fmr LLC has recently reported a decrease of 9.0% in its holdings of shares owned in Arm Holdings plc (NASDAQ:ARM – Free Report) for the 3rd quarter. According to their latest 13F filing with the Securities and Exchange Commission, Fmr LLC now possesses 2,066,163 shares after selling 205,124 during this period. At the end of the reporting period, Fmr LLC’s stake in ARM was valued at approximately $295,482,000, which accounts for about 0.20% of the company’s total shares.

In addition to Fmr LLC, several other institutional investors have adjusted their positions in Arm Holdings. For instance, International Assets Investment Management LLC significantly increased its stake by 14,351.1% during the third quarter, owning 812,297 shares valued at about $1,161,670,000 after acquiring an additional 806,676 shares. Sei Investments Co. also raised its holding by 551.6%, bringing its total to 579,330 shares worth $94,790,000 after buying 490,415 extra shares last quarter. Mirae Asset Global Investments Co. Ltd. increased its stake in ARM by 186.8% during the same quarter, now holding 359,105 shares valued at $52,279,000 due to an acquisition of 233,909 shares. Other new investors in ARM include Marsico Capital Management LLC and ProShare Advisors LLC, who established new positions in the second quarter worth approximately $33,207,000 and $16,611,000 respectively. Currently, hedge funds and other institutional investors hold around 7.53% of the stock.

Analysts Provide New Price Targets

Several research analysts have launched coverage or set new price targets for Arm Holdings recently. Wells Fargo & Company began coverage on ARM on November 22, suggesting an “overweight” rating with a price target of $155.00. In earlier ratings, JPMorgan Chase & Co. raised their price target from $140.00 to $160.00 and also issued an “overweight” rating on November 7. In the same timeframe, Daiwa Capital Markets improved ARM's rating from “neutral” to “outperform,” establishing a $130.00 price target. The Goldman Sachs Group adjusted their price objective on ARM from $144.00 to $159.00 and awarded the stock a “buy” rating on November 7. Furthermore, TD Cowen also upped their target price for ARM from $150.00 to $165.00. Currently, of the analysts, there are two who have a sell rating, six who recommend holding the stock, eighteen who have rated it a buy, and one strong buy rating, leading to an overall consensus of “Moderate Buy” with an average price target of $150.32 according to MarketBeat data.

Performance of ARM Shares

As of the latest trading session, NASDAQ ARM opened at $134.29. The stock has a 50-day simple moving average of $142.98 and a 200-day simple moving average of $141.70. Its market capitalization stands at $140.71 billion, with a P/E ratio of 223.82 and a P/E/G ratio of 6.71, indicating a beta of 5.40. Over the past year, Arm Holdings shares have experienced significant fluctuations, with a low of $60.37 and a high of $188.75.

The company recently disclosed its quarterly earnings, reporting earnings per share (EPS) of $0.30, surpassing the consensus estimate of $0.26. The net margin for the company was recorded at 18.13%, alongside a return on equity of 13.69%. Arm Holdings generated revenue of $844.00 million during the quarter, exceeding the estimated $810.03 million, showing an increase of 4.7% year-over-year from the previous year's $0.36 EPS. Analysts estimate that Arm Holdings plc is likely to achieve an EPS of 0.79 for the current fiscal year.

About Arm Holdings

Arm Holdings plc specializes in the architecture, development, and licensing of products related to central processing units, catering to semiconductor companies and original equipment manufacturers. The company offers a wide range of products including microprocessors, graphics processing units, systems intellectual property, and various associated services.

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