Short Interest in ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) Declines By 13.5%

ARM Holdings PLC Sponsored ADR (NASDAQ:ARM) was the recipient of a significant decline in short interest in February. As of February 27th, there was short interest totaling 14,825,255 shares, a decline of 13.5% from the February 12th total of 17,139,566 shares. Currently, 1.4% of the shares of the stock are short sold. Based on an average trading volume of 3,442,708 shares, the days-to-cover ratio is currently 4.3 days. Based on an average trading volume of 3,442,708 shares, the days-to-cover ratio is currently 4.3 days. Currently, 1.4% of the shares of the stock are short sold.

Analyst Ratings Changes

A number of analysts have weighed in on the stock. Mizuho decreased their target price on shares of ARM from $190.00 to $160.00 and set an “outperform” rating on the stock in a research note on Thursday, February 5th. The Goldman Sachs Group lowered shares of ARM from a “neutral” rating to a “sell” rating and cut their price target for the stock from $160.00 to $120.00 in a report on Monday, December 15th. Rosenblatt Securities reduced their price target on ARM from $180.00 to $175.00 and set a “buy” rating on the stock in a research report on Thursday, February 5th. Evercore cut their price objective on ARM from $215.00 to $170.00 and set an “outperform” rating on the stock in a research note on Thursday, February 5th. Finally, UBS Group dropped their target price on shares of ARM from $175.00 to $170.00 and set a “buy” rating on the stock in a report on Thursday, February 5th. Sixteen investment analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $160.81.

ARM Price Performance

NASDAQ:ARM opened at $127.31 on Wednesday. The firm’s 50-day moving average price is $117.62 and its 200-day moving average price is $134.10. The company has a market capitalization of $134.50 billion, a PE ratio of 169.75, a P/E/G ratio of 8.40 and a beta of 4.11. ARM has a 1-year low of $80.00 and a 1-year high of $183.16.

ARM (NASDAQ:ARM) last issued its quarterly earnings results on Wednesday, February 4th. The company reported $0.43 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.41 by $0.02. The company had revenue of $1.24 billion during the quarter, compared to analysts’ expectations of $1.23 billion. ARM had a net margin of 17.15% and a return on equity of 14.01%. ARM’s revenue was up 26.3% on a year-over-year basis. During the same period last year, the company posted $0.39 EPS. ARM has set its Q4 2026 guidance at 0.540-0.620 EPS. Equities analysts anticipate that ARM will post 0.9 EPS for the current fiscal year.

Institutional Trading of ARM

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Rockefeller Capital Management L.P. increased its position in ARM by 0.7% during the 4th quarter. Rockefeller Capital Management L.P. now owns 26,745 shares of the company’s stock valued at $2,923,000 after buying an additional 173 shares in the last quarter. Fund Advisors of America Inc FL bought a new stake in ARM in the fourth quarter worth $663,000. Hsbc Holdings PLC grew its stake in shares of ARM by 25.2% in the fourth quarter. Hsbc Holdings PLC now owns 92,992 shares of the company’s stock worth $10,281,000 after acquiring an additional 18,717 shares during the last quarter. SHP Wealth Management purchased a new stake in shares of ARM in the fourth quarter worth $69,000. Finally, Employees Provident Fund Board bought a new position in shares of ARM during the fourth quarter valued at $120,241,000. Hedge funds and other institutional investors 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.