Arm Holdings Plc (NASDAQ:ARM) shares are trading higher Tuesday amid strength in chip stocks.
What To Know:
Arm shares have gained more than 50% in the last month as artificial intelligence moves to smartphones. The ARM (Acorn RISC Machine) architecture is used in 99% of the world's smartphone CPU cores.
Apple, Inc. (NASDAQ:AAPL), one of Arm's major customers, announced robust AI features coming to new iPhone models and iOS updates at its Worldwide Developers Conference last week. Arm shares rose 14% last week and the buzz from Apple's new AI features contributed to the move.
Arm is set to join the Nasdaq 100 Index beginning June 24, and B of A Securities maintained its Buy rating and raised the price target on Arm from $150 to $180 Monday.
According to data from Benzinga Pro, Arm shares are trading well-above the stock's 50-day moving average of $118.15 and reached a new 52-week high of $170.35 on Tuesday.
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ARM Stock Prediction 2024:
Equity research can be a valuable source of information for learning about a company's fundamentals. Analysts create financial models based on the fundamentals and expected future earnings of a company to arrive at a price target and recommendation for the stock.
Shares of Arm Holdings have an average 1-year price target of $130.82, representing an expected downside of 22.37%.
Because of differences in assumptions, analysts can arrive at very different price targets and recommendations. 1 analysts have bearish recommendations on Arm Holdings, while 8 analysts have bullish ratings. The street high price target from B of A Securities is $180, while the street low from Susquehanna is $85.
ARM Price Action: According to Benzinga Pro, Arm Holdings shares are up 7.88% at $172.93 at the time of publication Tuesday.
Image: Courtesy of Arm Holdings, Plc