What do Tipranks analysts say about ARM stock?
7/19/2024 03:20pm
TipRanks analysts have a mixed opinion about ARM Holdings PLC (ARM). Here's a detailed analysis:
1. **Analyst Ratings and Price Targets**:
- **Consensus Rating**: ARM has a Moderate Buy rating from 15 analysts, with 11 Buy, 3 Hold, and 1 Sell ratings.
- **Price Targets**: The average price target is $126.86, with a high estimate of $200.00 and a low estimate of $65.00.
2. **Analyst Recommendations**:
- **Guggenheim**: Reiterated a Buy rating with a target price of $131.50.
- **Bank of America Securities**: Assigned a Buy rating with a target price of $185.00.
- **Susquehanna**: Reiterated a Buy rating with a target price of $115.00.
3. **Market Performance**:
- **Stock Performance**: ARM's stock has experienced a significant drop of 9% in the after-trading hours following a weaker-than-expected annual revenue forecast.
- **Industry Impact**: The company's stock price has been affected by broader market trends and the growth concerns within the tech industry.
4. **Company Fundamentals**:
- **Financial Performance**: ARM has reported robust demand for AI chips and increased royalty revenue, contributing to a strong quarterly earnings.
- **Strategic Position**: ARM remains a leader in the chip architecture market, with 99% of smartphones using its platform.
**Conclusion**:
- ARM Holdings PLC is viewed differently by analysts, with some maintaining a Buy rating and others suggesting a Hold or Sell. The average price target indicates a range of potential values, reflecting the uncertainty in the market about the company's future performance.