What the analyst said
Barclays analyst Tom O’Malley lowered the price target on Arm Holdings (NASDAQ: ARM) to $325 (from $360) while maintaining an Overweight rating.
“Top-line beats in the quarter as stronger Licensing (+50% Y/Y vs. our +32% est.) offsets weaker Royalties (+8% Y/Y vs. our +14% est.).
In September, we estimate Client royalty revenue -15% Y/Y while DC royalty doubled and Physical AI / Auto grew +50%.
In December, Licensing is expected to accelerate Y/Y to +>50% while Royalty decelerates to +LSD%. We think Client is down -20% Y/Y within this as the tight memory environment persists.
Looking into March, mgmt. expects total revenue Y/Y to be similar to December.
Demand for the AGI CPU is “well beyond” $2B with the likelihood of reaching $2B over FY27-28 increasing over the last 90 days. We revise our estimate to ~$1.5B from ~$1.1B.
Net-net, top-line remains largely unchanged while EPS moves lower as AGI CPU is a GM HW and the company commits to R&D investments (opex +$55M Q/Q in March).”
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Where the price stands
ARM trades at $170. The 9 analysts who set a target in the last 3 months range from $160 to $641, with a median of $255. This $325 target is 27% above the median.
12-month window: day 0 of 365, closes on November 5, 2027.
Track record
This callOpen: a 12-month target, scored on November 5, 2027, a year after the note.
Firm track recordBarclays: 83% of its 40 targets at least a year old were reached within 12 months (#7 of 26 firms). Accuracy ranking →
Barclays on Arm
Barclays price targets on Arm
4 calls from March 25, 2026 to November 5, 2026. The target went from $200 to $325 (+63%). The rating stayed Buy.
- November 5, 2026 This noteTarget cut from $360 (−10%)Buy$325
- June 1, 2026Target raised from $250 (+44%)Buy$360
- May 8, 2026Target raised from $200 (+25%)Buy$250
- March 25, 2026Earliest call shownBuy$200
Other analysts on Arm
JP MorganBuy
Cut price target −4%, kept rating · Nov 5
$245from $255
NeedhamBuy
Kept rating and price target · Nov 5
$255maintained
EvercoreBuy
Kept rating and price target · Nov 5
$372maintained
Wells FargoBuy
Cut price target −9%, kept rating · Nov 5
$255from $280
Goldman SachsSell
Kept rating and price target · Nov 5
$160maintained