Rosenblatt Raises Arm Holdings Price Target to $270

Rosenblatt analyst Kevin Cassidy raised the price target on Arm Holdings (NASDAQ: ARM) to $270.00 (from $175.00) while maintaining a Buy rating.

“Arm delivered a solid beat-n-raise as licensing revenue increased 29% Y/Y and royalties increased 11% Y/Y.

As has been confirmed by Intel and AMD’s reports, demand for CPUs is surging and, in our view, there is no other company that benefits more from this trend than Arm.

According to management, customer demand for its AGI CPU has increased to $2B from $1B since the chips introduction 6 weeks ago.

With the shares up 100% in the past 2 months, the result and guide may not be enough to support the increase.

We recommend investors look at the longer-term growth in every end market where Arm has a presence. We are increasing our 12-month price target to $270.”

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