Arm Share Price Growth: From a 60% surge post Q3 success to a $157.48 peak in 2024. Analysts divided on the future, projecting declines or a $145.84 rise by 2025.
ARM Share Price Growth
Arm Holdings, a UK-based chipmaker, experienced a remarkable 60% surge in its stock on NASDAQ (ARM) last week.
The jump followed impressive third-quarter results and promising guidance, triggering a rush among investors to grab a piece of the company.
Adding to the positive sentiment, analysts from Jefferies revised their forecasts for Arm, increasing the target price from $98 to $115. Their optimism stems from the robust performance in Q3 and the upbeat guidance for Q4.
ARM Share Price Growth In Q3
Arm Holdings (NASDAQ: ARM) witnessed a remarkable 47% surge in its shares after unveiling robust Q3 results.
Fueled by a heightened demand for artificial intelligence, the company’s stellar performance surpassed Wall Street’s expectations, creating an optimistic outlook.
The increased adoption of Arm’s technology in AI-driven devices, particularly in premium smartphones, contributed to a boost in royalty and licensing revenue.
With Q3 adjusted EPS reaching $0.29 and revenue at $824 million, exceeding forecasts, Arm positions itself as a key player in the evolving landscape of technology, poised to capitalize on the accelerating demand for advanced AI solutions in the market.
ARM Share Price Growth Today 2024
As of February 12, 2024, the share price of Arm Holdings (ARM) is $157.48, marking a significant increase of $42.27, or 36.69%, for the day.
ARM Share Price In Indian Rupees
The Arm share price in rupees would be approximately 12,184.37 INR. Per share, it can fluctuate from time to time for the latest update read here.
ARM Share Price Growth IPO Price 2024
ARM Shares have soared, doubling from the $51 IPO price in September to $102.11. The surge was fueled by a robust earnings forecast, causing its parent company, SoftBank Group Corp.
To rally almost 10%. In Q4, Arm’s shares jumped 40%, potentially elevating SoftBank’s net asset value to over $121 billion.
Arm’s bullish guidance, driven by strong markets in automotive and AI, exceeded expectations, with projections of $875 million in sales and 30 cents per share in adjusted profit.
The company’s expansion strategy is paying off, attracting customers for Arm-based processors in collaboration with Nvidia for AI work in data centers.
Arm is also developing laptops and smartphones with enhanced AI features, anticipating a significant boost in revenue.
ARM Share Price Growth Analyst Views
The Arm Holdings plc. ADR (ARM) stock faces a mixed outlook as analysts predict a -39.41% dip in the next 12 months, with an average target of $86.44.
However, contrasting this, technical indicators suggest a bullish sentiment, projecting a potential rise to $145.84 by 2025.
The current price stands at $142.65. Investors might find an opportunity to enter the market amid this disparity, as trading in bullish markets is deemed more favorable.
Analysts’ price targets range from $62.08 to $110.80, emphasizing the uncertainty surrounding Arm’s future trajectory
ARM Share Price Target 2024
In 2024, the projected average Arm share price is $96.17, with a potential low of $57.48 and a high of $110.80. This forecast suggests a change of -31.61% from today’s price. Investors should consider these estimates when making decisions about Arm stock in the coming year.
ARM Share Price 2025 Prediction
Arm stock, currently valued high, might face a decline. However, there’s optimism for growth in the company’s revenue. Management projects a 7% increase by 2025. Predictions for Arm stock in 2025 suggest an average price of $62 and a maximum of $67. While the current valuation indicates caution, the anticipated revenue growth offers a positive outlook for the coming years
READ ALSO: LIC Share Price 2024, 2025 Target, Prediction, and Analysis.
Is arm stock a good buy now?
Arm Holdings doesn’t physically make chips but designs them, licensing its architecture to chipmakers like Qualcomm and Nvidia. Over 95% of smartphones use Arm-based chips due to their power efficiency.
While fiscal 2022 saw robust growth, fiscal 2024 faced challenges as the 5G cycle ended. Fiscal 2024 forecasts a 10-15% revenue increase, aligning with smartphone chipmakers’ trends.
Conclusion:
In conclusion, Arm Holdings has seen impressive stock surges fueled by robust Q3 results and optimistic guidance. Despite the bullish trend, analysts have diverse views, predicting both a decline in the next 12 months and a potential rise to $145.84 by 2025. The current high valuation raises concerns, and while there’s optimism for revenue growth, uncertainties persist, making it essential for investors to carefully evaluate risks and potential returns before considering Arm stock.
