HSBC Arm

HSBC Upgrades Arm Holdings to Buy

Analyst: Frank Lee 1 min read Reproduced verbatim
Rating
Buy
from Reduce
Target
$205
from $90 (+128%)
Outcome
Reached
on April 24, 2026
HSBC and Arm logos

What the analyst said

HSBC analyst Frank Lee upgraded Arm Holdings (NASDAQ: ARM) from Reduce to Buy with a price target of $205.00 (from $90.00).

“We believe Arm is now firmly in the middle of a transition from being a smartphone dependent semiIP play, into a major AI server CPU beneficiary that remains undervalued by the market.

As highlighted in our previous research, agentic AI is expanding the TAM for server CPUs which should drive server unit growth upside.

All major hyperscalers also have Arm-based server CPUs and are moving to both its v9 architecture as well as Neoverse Compute Subsystems (CSS), doubling its royalty revenue per chip.

We also believe Arm will enter the merchant CPU business which will not only significantly boost its revenue and earnings potential but could also lead to a potential re-rating.”

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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 $203. The 2 analysts who set a target in the last 3 months range from $320 to $641, with a median of $481. This $205 target is 57% below the median, the lowest on the Street.

Since the note ARM has moved +56% (from $130). 12-month window: day 228 of 365, closes on March 20, 2027.

Track record

This call✓ Target reached on April 24, 2026, 35 days after the note.

Firm track recordHSBC: 60% of its 20 targets at least a year old were reached within 12 months (#24 of 26 firms). Accuracy ranking →

HSBC on Arm

HSBC price targets on Arm

3 calls from March 20, 2026 to July 14, 2026. The target went from $205 to $315 (+54%). The rating moved from Buy to Hold.

HSBC targetARM share price
  1. July 14, 2026Downgraded to Hold, target raised from $245 (+29%)Hold$315
  2. May 5, 2026Target raised from $205 (+20%)Buy$245
  3. March 20, 2026 This noteEarliest call shownBuy$205
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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.