RBC Capital Arm

RBC Capital Lowers Arm Holdings Price Target to $130

Analyst: Srini Pajjuri 1 min read Reproduced verbatim
Rating
Outperform
Target
$130
from $140 (−7%)
Outcome
Reached
on February 25, 2026
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What the analyst said

RBC Capital analyst Srini Pajjuri lowered the price target on Arm Holdings (NASDAQ: ARM) to $130.00 (from $140.00) while maintaining an Outperform rating.

“Data Center/CSS Helping Offset Smartphone Memory Headwinds; ARM’s results and outlook were a bit better.

While slower FQ4 royalty growth outlook is likely impacting the stock in the aftermarket, management sounded confident about sustaining 20% growth in FY27.

Data Center revenue more than doubled y/y and ASP tailwinds from v9/ CSS are helping offset weaker smartphone unit growth.

Licensing grew 25% (up 18% ex-Softbank) and management believes Softbank contribution is durable.

While the uncertainty regarding chiplet/SoC strategy remains, management plans to provide further details on March 24.

We believe premium valuation is justified given ~20% royalty growth, Data Center gains, and strong ASP tailwinds. Reiterate Outperform.”

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This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.

Where the price stands

ARM trades at $206. The 2 analysts who set a target in the last 3 months range from $320 to $641, with a median of $481. This $130 target is 73% below the median, the lowest on the Street.

Since the note ARM has moved +96% (from $105). 12-month window: day 269 of 365, closes on February 5, 2027.

Track record

This call✓ Target reached on February 25, 2026, 20 days after the note.

Firm track recordRBC Capital: 73% of its 11 targets at least a year old were reached within 12 months. Accuracy ranking →

Earnings reactionOne of 12 notes after Arm’s Feb 4 results: 0 raised · 10 cut · 1 kept. See every call →

RBC Capital on Arm

RBC Capital price targets on Arm

5 calls from January 14, 2026 to July 30, 2026. The target went from $140 to $340 (+143%). The rating stayed Buy.

RBC Capital targetARM share price
  1. July 30, 2026Target raised from $260 (+31%)Buy$340
  2. May 7, 2026Target raised from $175 (+49%)Buy$260
  3. March 25, 2026Target raised from $130 (+35%)Buy$175
  4. February 5, 2026 This noteTarget cut from $140 (−7%)Buy$130
  5. January 14, 2026Earliest call shownBuy$140
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Other analysts on Arm

StoneXHold Kept rating Oct 26 Piper SandlerBuy Initiated coverage Sep 10 $320 Raymond JamesBuy Raised price target +13%, kept rating Aug 25 $641from $565 RosenblattBuy Cut price target −7%, kept rating Jul 31 $250from $270 UBSBuy Cut price target −11%, kept rating Jul 30 $320from $360
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Price Target is an archive of Wall Street analyst research, published for informational purposes only. Nothing on this site is investment advice, a recommendation, or an offer to buy or sell any security. Analyst ratings and price targets are the opinions of the issuing firms, not of Price Target. Always do your own research or consult a licensed financial adviser.