Arm Holdings Plc Stock Analysis

ARM Stock   177.53  3.65  2.01%   
Arm Holdings plc is overvalued with Real Value of 101.85 and Target Price of 70.53. The main objective of Arm Holdings stock analysis is to determine its intrinsic value, which is an estimate of what Arm Holdings plc is worth, separate from its market price. There are two main types of Arm Holdings' stock analysis: fundamental analysis and technical analysis.
The Arm Holdings stock is traded in the USA on NASDAQ Exchange, with the market opening at 09:30:00 and closing at 16:00:00 every Mon,Tue,Wed,Thu,Fri except for officially observed holidays in the USA. Arm Holdings is usually not traded on Dr . Martin Luther King Jr 's Birthday, Washington 's Birthday, Good Friday, Memorial Day, Juneteenth Holiday, Independence Day, Labour Day, Thanksgiving Day, Christmas Day, New Year 's Day. Arm Stock trading window is adjusted to America/New York timezone.
  
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Arm Holdings plc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.

Arm Stock Analysis Notes

About 90.0% of the company shares are held by company insiders. The company has Price/Earnings To Growth (PEG) ratio of 2.29. Arm Holdings plc had not issued any dividends in recent years. ARM Holdings plc, together with its subsidiaries, designs microprocessors, physical intellectual property , and related technology and software. For more info on Arm Holdings plc please contact Rene Haas at 44 1223 400 400 or go to https://www.arm.com.

Arm Holdings Quarterly Total Revenue

928 Million

Arm Holdings plc Investment Alerts

Arm Holdings plc appears to be risky and price may revert if volatility continues
Arm Holdings plc has a strong financial position based on the latest SEC filings
About 90.0% of the company shares are held by company insiders
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Arm Holdings plc Upcoming and Recent Events

7th of February 2024
Upcoming Quarterly Report
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31st of December 2023
Next Fiscal Quarter End
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30th of September 2023
Last Quarter Report
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31st of March 2023
Last Financial Announcement
View

Arm Largest EPS Surprises

Earnings surprises can significantly impact Arm Holdings' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
2024-02-07
2023-12-310.250.290.0416 
2023-11-08
2023-09-300.260.360.138 
2024-05-08
2024-03-310.210.360.1571 
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Arm Holdings Thematic Classifications

In addition to having Arm Holdings stock in your portfolios, you can add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your favorite investment opportunity, you can then obtain an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility. If you are a result-oriented investor, you can benefit from optimizing one of our existing themes to build an efficient portfolio against your specific investing outlook.
Semiconductor Idea
Semiconductor
Semiconductor materials and production
Electronic Equipment Idea
Electronic Equipment
USA Equities from Electronic Equipment industry as classified by Fama & French

Arm Market Capitalization

The company currently falls under 'Mega-Cap' category with a total capitalization of 128.5 B.

Arm Profitablity

The company has Net Profit Margin of 0.03 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.17 %, which entails that for every 100 dollars of revenue, it generated $0.17 of operating income.
Last ReportedProjected for Next Year
Return On Tangible Assets 0.05  0.10 
Return On Capital Employed 0.02  0.01 
Return On Assets 0.04  0.07 
Return On Equity 0.06  0.05 

Management Efficiency

At this time, Arm Holdings' Return On Tangible Assets are very stable compared to the past year. As of the 16th of July 2024, Return On Assets is likely to grow to 0.07, while Return On Capital Employed is likely to drop 0.01. At this time, Arm Holdings' Non Current Assets Total are very stable compared to the past year. As of the 16th of July 2024, Return On Tangible Assets is likely to grow to 0.1, while Net Tangible Assets are likely to drop about 2.2 B. Arm Holdings' management efficiency ratios could be used to measure how well Arm Holdings manages its routine affairs as well as how well it operates its assets and liabilities.
Last ReportedProjected for Next Year
Book Value Per Share 5.15  3.35 
Tangible Book Value Per Share 3.42  1.95 
Enterprise Value Over EBITDA 493.09  517.74 
Price Book Value Ratio 24.63  15.35 
Enterprise Value Multiple 493.09  517.74 
Price Fair Value 24.63  15.35 
Enterprise Value115.8 B103 B
The analysis of Arm Holdings' management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Arm Holdings' future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Arm Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.
Operating Margin
0.1699
Profit Margin
0.0289

Technical Drivers

As of the 16th of July 2024, Arm Holdings shows the Mean Deviation of 3.49, risk adjusted performance of 0.0928, and Downside Deviation of 5.1. Arm Holdings plc technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Please confirm Arm Holdings plc downside deviation, jensen alpha, as well as the relationship between the Jensen Alpha and downside variance to decide if Arm Holdings plc is priced correctly, providing market reflects its regular price of 177.53 per share. Given that Arm Holdings has jensen alpha of 0.635, we suggest you to validate Arm Holdings plc's prevailing market performance to make sure the company can sustain itself at a future point.

Arm Holdings plc Price Movement Analysis

Execute Study
The output start index for this execution was nine with a total number of output elements of fifty-two. The Bollinger Bands is very popular indicator that was developed by John Bollinger. It consist of three lines. Arm Holdings middle band is a simple moving average of its typical price. The upper and lower bands are (N) standard deviations above and below the middle band. The bands widen and narrow when the volatility of the price is higher or lower, respectively. The upper and lower bands can also be interpreted as price targets for Arm Holdings plc. When the price bounces off of the lower band and crosses the middle band, then the upper band becomes the price target.

Arm Holdings Outstanding Bonds

Arm Holdings issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Arm Holdings plc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Arm bonds can be classified according to their maturity, which is the date when Arm Holdings plc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Arm Holdings Predictive Daily Indicators

Arm Holdings intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Arm Holdings stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

Arm Holdings Corporate Filings

17th of June 2024
Other Reports
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3rd of June 2024
Other Reports
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29th of May 2024
Other Reports
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6K
8th of May 2024
A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges.
ViewVerify
18th of March 2024
Other Reports
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13A
14th of February 2024
The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934
ViewVerify
6K
8th of February 2024
A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges.
ViewVerify
6K
7th of February 2024
A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges.
ViewVerify

Arm Holdings Forecast Models

Arm Holdings' time-series forecasting models are one of many Arm Holdings' stock analysis techniques aimed at predicting future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Arm Holdings' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

About Arm Stock Analysis

Stock analysis is the technique used by a trader or investor to examine and evaluate how Arm Holdings prices is reacting to, or reflecting on a current market direction and economic conditions. It can be used to make informed decisions about market timing, and when buying or selling Arm shares will generate the highest return on investment. We also built our stock analysis module to help investors to gain an insight into the world economy as a whole, the stock market, thematic ideas. a specific sector, or an individual Stock such as Arm Holdings. By using and applying Arm Stock analysis, traders can create a robust methodology for identifying Arm entry and exit points for their positions.
Last ReportedProjected for Next Year
Pretax Profit Margin 0.07  0.06 
Operating Profit Margin 0.03  0.03 
Net Profit Margin 0.09  0.19 
Gross Profit Margin 0.93  0.75 

Current Arm Analysis - Recommendations

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Arm analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Arm analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target PriceAdvice# of Analysts
70.53Buy31Odds
Arm Holdings plc current and past analyst recommendations published by a number of research institutions as well as average analyst consensus.
Most Arm analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to helps potential investors understand Arm stock's fair price compared to its market value. Analysts arrive at stock ratings after researching public financial statements of Arm Holdings plc, talking to its executives and customers, or listening to Arm conference calls.
Arm Analyst Advice Details

Arm Stock Analysis Indicators

Arm Holdings plc stock analysis indicators help investors evaluate how Arm Holdings stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing and determine when trading Arm Holdings shares will generate the highest return on investment. By understating and applying Arm Holdings stock analysis, traders can identify Arm Holdings position entry and exit signals to maximize returns.
Begin Period Cash Flow1.6 B
Common Stock Shares OutstandingB
Total Stockholder Equity5.3 B
Tax Provision-94 M
Quarterly Earnings Growth Y O Y-0.549
Property Plant And Equipment Net420 M
Cash And Short Term Investments2.9 B
Cash1.9 B
Accounts Payable26 M
Net Debt-1.7 B
50 Day M A113.975
Total Current Liabilities1.5 B
Other Operating Expenses3.1 B
Non Current Assets Total3.7 B
Forward Price Earnings88.4956
Non Currrent Assets Other477.6 M
Stock Based CompensationB

Additional Information and Resources on Investing in Arm Stock

When determining whether Arm Holdings plc is a strong investment it is important to analyze Arm Holdings' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Arm Holdings' future performance. For an informed investment choice regarding Arm Stock, refer to the following important reports:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Arm Holdings plc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.
You can also try the Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Arm Holdings. If investors know Arm will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Arm Holdings listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.55)
Earnings Share
0.09
Revenue Per Share
2.864
Quarterly Revenue Growth
0.138
The market value of Arm Holdings plc is measured differently than its book value, which is the value of Arm that is recorded on the company's balance sheet. Investors also form their own opinion of Arm Holdings' value that differs from its market value or its book value, called intrinsic value, which is Arm Holdings' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Arm Holdings' market value can be influenced by many factors that don't directly affect Arm Holdings' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Arm Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if Arm Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Arm Holdings' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.