GET DAILY SIGNALSArm Holdings (ARM) Stock Slides -36.6% Over 30 Days on Earnings and Chip Selloff
Key Takeaways
- ARM shares declined roughly 36.6% over the last 30 days, falling from a $275.29 close on October 8, 2026 to $174.62 on November 6, 2026.
- The slide accelerated after fiscal Q2 2027 earnings: revenue and EPS beat estimates, but royalty revenue and next-quarter guidance fell short of elevated investor expectations.
- A broader semiconductor selloff compounded the move, with peers such as Qualcomm (QCOM), AMD (AMD), and Micron (MU) also under pressure on AI-infrastructure concerns.
- Over the last quarter, the stock is down approximately 38%, reflecting a sharp de-rating from its late-September highs near $333.
- Long-term demand signals remain positive: data center royalties doubled year over year, and Arm projects more than 60% server share at leading hyperscalers by the end of 2026.
- Barclays maintained an Overweight rating on ARM but lowered its price target to $325 from $360 following the report.
- For deeper data, explore ARM's Price Targets, Earnings, and Forecast pages.
Arm Holdings (ARM) Company Overview and Market Position
Arm Holdings plc is a British semiconductor and software design company whose processor architecture underpins a substantial share of the world's chips. Rather than manufacturing silicon, Arm licenses its CPU, GPU, and related intellectual property to chipmakers and technology companies, then earns royalties on chips that ship with Arm-based designs. Its architecture powers smartphones, PCs, automotive systems, and a fast-growing portfolio of cloud and data-center processors. Key customers span the semiconductor and hyperscaler ecosystem, including Qualcomm, Apple, Samsung, Amazon, Microsoft, Alphabet, and NVIDIA.
Investors follow ARM closely because of its central role in AI infrastructure. Arm has expanded beyond pure licensing into chip design and, more recently, silicon products, including the Arm AGI CPU for AI data centers. The company's low-power architecture is a strategic asset as cloud providers seek greater compute efficiency, making Arm a closely watched barometer of AI spending and semiconductor demand. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Arm Holdings (ARM) Stock Price Performance: Last 30 Days vs. Quarter
Over the last 30 days, ARM shares fell from $275.29 (closing price on October 8, 2026) to $174.62 (closing price on November 6, 2026), a decline of approximately 36.6%. The drop was steepest in early November, when the stock fell more than 13% in a single session on November 5 amid the earnings reaction and a broad chip selloff.
The quarterly picture is similarly negative. Using a closing price of $282.57 on August 7, 2026, ARM is down roughly 38.2% over the last three months. The stock peaked near $333 in late September before entering a sustained downtrend characterized by lower highs and lower lows through October and into November.
What Drove ARM Stock Price in the Last 30 Days
The sharpest catalyst was ARM's fiscal second-quarter 2027 report, released after the market close on November 4, 2026. Revenue rose 27% year over year to $1.44 billion and adjusted earnings per share reached $0.52, both above analyst estimates. However, the market focused on two softer areas: royalty revenue grew only 8% to $670 million, missing expectations, while license and other revenue jumped 50% to $773 million. Management attributed the royalty shortfall partly to higher memory prices weighing on smartphone demand.
Guidance also underwhelmed investors who had priced in a larger beat. For the fiscal third quarter, Arm guided to roughly $1.54 billion in revenue and adjusted EPS of $0.56, only modestly above consensus estimates near $1.53 billion and $0.55. Because ARM entered the report with elevated valuations and high expectations, the lack of an outsized beat triggered a sharp repricing.
The decline was amplified by a broader semiconductor retreat. Qualcomm (QCOM), AMD (AMD), and Micron (MU) all sold off in the same period amid renewed concerns about potential restrictions on AI data centers and infrastructure spending. Barclays maintained an Overweight rating on ARM but trimmed its price target to $325 from $360, citing solid licensing momentum balanced against softer royalty growth.
What Drove ARM Stock Performance Over the Last Quarter
ARM's quarterly decline reflects a broader de-rating across high-multiple AI and semiconductor names. After rallying to its late-September highs near $333, the stock gave back those gains as investors reassessed the pace at which AI demand translates into revenue. Rotation out of richly valued AI infrastructure stocks, combined with worries about AI data-center regulation and a technical correction in the Nasdaq-100, pressured the shares even before the earnings report.
Fundamentally, Arm's long-term story remained intact. Data center royalty revenue doubled year over year, and Arm-based processors expanded their share of hyperscaler server deployments from roughly 15% in 2024 to more than 50% in 2025. The company also reiterated expectations for its Arm AGI CPU to generate up to $2 billion in cumulative revenue across fiscal 2027 and 2028. The quarter's decline, therefore, was driven less by deteriorating fundamentals than by stretched valuations and shifting sentiment. From what I see, this distinction matters for anyone assessing whether the move is a temporary reset or something more structural.
ARM Stock Forecast Drivers: What Investors Should Watch Next
Investors should monitor several factors in the months ahead. First, Arm's royalty trajectory will be a key test — particularly whether smartphone royalties stabilize and whether accelerating licensing activity converts into shipment growth. Second, the progress and initial shipments of the Arm AGI CPU, expected in the fiscal fourth quarter of 2027, will signal whether the company can execute on its silicon expansion. Third, hyperscaler adoption of Arm-based server processors will remain central to the data-center growth narrative. Broader macro risks — including AI infrastructure regulation, memory pricing, and sector rotation away from high-valuation technology names — could continue to influence sentiment. Guidance updates in upcoming quarterly reports will be closely watched for any change in the pace of AI-driven revenue growth. I’m watching this closely as the next few quarters will clarify how quickly those long-term tailwinds materialize.
Exploring AI Tools for Market Insights
In my own research process I frequently review Tickeron’s Trending AI Robots to see how automated strategies are positioning across the market. The section highlights top-performing bots that trade thousands of tickers, letting users compare different styles and timeframes in real time. It offers a practical way to observe which data-driven approaches are gaining traction without having to build everything from scratch.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
ARM in downward trend: price dove below 50-day moving average on October 09, 2026
ARM moved below its 50-day moving average on October 09, 2026 date and that indicates a change from an upward trend to a downward trend. In 14 of 15 similar past instances, the stock price decreased further within the following month. The odds of a continued downward trend are 90%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 05, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on ARM as a result. In 35 of 49 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 71%.
The Moving Average Convergence Divergence Histogram (MACD) for ARM turned negative on October 07, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 27 similar instances when the indicator turned negative. In 22 of the 27 cases the stock turned lower in the days that followed. This puts the odds of success at 81%.
The 10-day moving average for ARM crossed bearishly below the 50-day moving average on October 16, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 8 of 8 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 90%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ARM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 80%.
The Aroon Indicator for ARM entered a downward trend on November 06, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the oversold zone for 2 days, which means it's wise to expect a price bounce in the near future.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 4 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a +5.62% 3-day Advance, the price is estimated to grow further. Considering data from situations where ARM advanced for three days, in 182 of 211 cases, the price rose further within the following month. The odds of a continued upward trend are 86%.
ARM may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is 58 (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 60 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is 65 (best 1 - 100 worst), indicating steady price growth. ARM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 95 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: ARM's P/B Ratio (21.610) is very high in comparison to the industry average of (5.436). ARM has a moderately high P/E Ratio (178.184) as compared to the industry average of (16.192). Projected Growth (PEG Ratio) (2.327) is also within normal values, averaging (3.803). Dividend Yield (0.000) settles around the average of (0.014) among similar stocks. P/S Ratio (50.761) is also within normal values, averaging (46.468).
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ARM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 80, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Advertisement
General Information
Industry Semiconductors
Advertisement