Ratings for ARM Holdings (NASDAQ:ARM) were provided by 10 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $151.5, a high estimate of $180.00, and a low estimate of $100.00. This current average reflects an increase of 12.01% from the previous average price target of $135.25.

Breaking Down Analyst Ratings: A Detailed Examination

A clear picture of ARM Holdings's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of ARM Holdings's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on ARM Holdings analyst ratings.

Delving into ARM Holdings's Background

Understanding the Numbers: ARM Holdings's Finances

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: ARM Holdings's remarkable performance in 3 months is evident. As of 30 September, 2024, the company achieved an impressive revenue growth rate of 4.71%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: ARM Holdings's net margin excels beyond industry benchmarks, reaching 12.68%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): ARM Holdings's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 1.83%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 1.34%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.04.

The Core of Analyst Ratings: What Every Investor Should Know

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.