Arm Holdings plc American Depositary Shares ARM
Stock research in plain language · As of Oct 04, 2026 · updated once a week, after the trading week closes
What the company does
Arm Holdings plc American Depositary Shares is a mega-cap company in the Technology sector (Semiconductors), with a market value of $328.4B, based in the USA.
It employs about 9,584 people and has been listed since Sep 14, 2023.
Arm Holdings plc researches, develops, licenses, and markets central processing unit (CPU) intellectual property (IP), graphics processing unit IP, systems IP, compute subsystems (CSS), and associated software, tools and related services. The company provides a product portfolio, including CPU IP, GPU and neural processing unit (NPU) accelerators, system IP such as interconnects, compute platform products including pre-integrated CSSs, and development tools and software. The company serves semiconductor companies, original equipment manufacturers (OEMs), cloud service providers (CSPs), and organizations developing chips for end markets such as smartphones, consumer electronics, industrial IoT, embedded systems, cloud data centers, networking, automotive, and robotics.
Cheap or expensive? relatively expensive
Its price-to-earnings (P/E) is 313.8 versus 36.5 for 4 direct peers — relatively expensive.
Revenue is growing 22% a year — the market is paying ahead for that growth. If it slows, the high multiple becomes the risk.
On analysts' next-year forecasts the multiple drops to 151.5 — they expect higher earnings.
The average analyst price target is 288.70, 6% below the current price (their view, not ours).
The stock sits at 59% of its one-year range (0% = the low, 100% = the high).
The risks
- • The stock is more volatile than average (beta 3.9) — big daily moves both ways.
- • 11% of the float is sold short — part of the market is betting on a decline.
- • The stock is 32% below its one-year high.
Strengths
- ✅ Profitable — 21 of every 100 dollars of revenue stays as profit.
- ✅ Generates free cash flow — profit becomes cash in the bank.
- ✅ More cash than debt.
- ✅ Most analysts rate it buy (29 vs 2).
- ✅ Revenue is growing 22% a year.
What changed this week
Over the past week the stock fell 0.9% (for comparison: S&P 500 -0.2%, sector ETF XLK +1.8%).
This week's news
- Will Selling Chips Strengthen Arm’s Moat or Put It at Risk? finance.yahoo.com · 2026-10-04
- Synopsys (SNPS) Has a Strong Design Business. Is Its Growth Worth the Premium? finance.yahoo.com · 2026-10-04
- Jim Cramer Views Intel (INTC) As A Winning Turnaround Amid CPU Demand Growth finance.yahoo.com · 2026-10-03
- Why Vishay Intertechnology (VSH) Stock Is Trading Up Today finance.yahoo.com · 2026-10-02
- Chip Stocks Roar Higher, Led By These Lesser-Known Names finance.yahoo.com · 2026-10-02
- Stock Market Today: Nasdaq Powers Up On U.S. Jobs Shortfall; Tesla Jumps, NetApp Extends Gains (Live Coverage) finance.yahoo.com · 2026-10-02
A description of facts from the filings and the market — not investment advice or a recommendation. "Cheap" and "expensive" are always relative to the comparison group.