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Arm Holdings/$ARM

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About Arm Holdings

Arm Holdings is the IP owner and developer of the Arm architecture, which is used in 99% of the world's smartphone CPU cores. Arm also has a high market share in other battery-powered devices, such as wearables, tablets, and sensors. Arm licenses its architecture for a fee, offering different license types depending on the flexibility the customer needs. Customers such as Apple or Qualcomm buy architectural licenses, which allow them to modify the architecture and add or remove instructions to tailor the chips to their specific needs. Other clients directly buy off-the-shelf designs from Arm. Both off-the-shelf and architectural customers pay a royalty fee per chip shipped. In 2026, Arm announced plans to launch its own CPU products on top of its existing royalty business.
Ticker
$ARM
Sector
Semiconductors
Primary listing
NASDAQ
Employees
9,584

Arm Holdings Metrics

BasicAdvanced
$204B
216.89
$0.88
3.94
-

What the Analysts think about Arm Holdings

Analyst ratings (Buy, Hold, Sell) for Arm Holdings stock.
Analyst projections of the future price of Arm Holdings stock.

Bulls say / Bears say

Arm’s data-centre royalty revenue doubled year on year in its latest quarter, as its architecture gained ground with major cloud providers. Arm expects its share of server deployments at top hyperscalers to exceed 60% by the end of 2026. (Arm)
Licensing revenue rose 50% to a record $773 million in the September quarter, with new long-term access agreements helping broaden customer use of Arm technology. Annualised contract value also rose 12%, a steadier sign of underlying licensing momentum. (Arm, SEC)
Arm’s new AGI CPU could add a direct chip-sales growth stream alongside its licensing and royalty model. The company says purchase orders from multiple customers extend through 2027 and it is more confident of up to $2 billion in revenue across fiscal 2027 and 2028. (Arm)
Royalties grew only 8% in the latest quarter, below analysts’ expectations, as high memory prices weighed on smartphone shipments. Arm expects royalty growth in the next quarter to slow to the low single digits, leaving its largest established end market under pressure. (Reuters, SEC)
Selling its own CPUs takes Arm into a lower-margin hardware business and requires higher investment. Barclays warned that hardware gross margins and rising operating expenses could weigh on earnings estimates as the AGI CPU ramps up. (Investing.com)
Arm’s valuation remains demanding: Goldman Sachs cited a price-to-earnings ratio near 195 and reiterated a Sell rating, arguing that weaker royalties leave limited near-term support for the shares. That leaves the stock vulnerable if growth disappoints. (Investing.com)
Data summarised monthly by Lightyear AI. Last updated on 12 Nov 2026.

Arm Holdings Financial Performance

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Arm Holdings Earnings Performance

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Funds containing Arm Holdings

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