Arm Holdings plc American Depositary Shares

$ 439.46 4.91 %

Arm Holdings plc is a leading technology firm that conceptualizes, engineers, and licenses core processing unit (CPU) designs and complementary technologies. These foundational innovations are crucial for semiconductor manufacturers and original equipment manufacturers (OEMs) to develop their own products. The company's diverse portfolio encompasses microprocessors, comprehensive system intellectual property (IP) solutions, graphics processing units (GPUs), physical IP alongside its associated system IPs, various software offerings, development tools, and an array of supplementary services. Its technology underpins a wide spectrum of industries, including the automotive sector, advanced computing infrastructure, consumer electronics, and the burgeoning Internet of Things (IoT) landscape. Established in 1990, Arm Holdings plc maintains its corporate headquarters in Cambridge, United Kingdom. With a significant global footprint, Arm conducts operations across the United States, the People's Republic of China, Taiwan, South Korea, and numerous other international regions. Currently, Arm Holdings plc functions as a subsidiary entity of Kronos II LLC.

CEO: Rene Anthony Andrada Haas - https://www.arm.com

Price objectif

$271 -38.33 %

Recommandation

Buy

DCF

$ 7.03

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ARM vs S&P500

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Quick ratio

6.00

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

529.47

is considered reasonable, suggesting that the company has a valuation in line with its current profits.

EPS

0.83

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

11.86 %

reflects reasonable profitability, showing good use of equity.

ROIC

7.24 %

does not generate enough return to cover its financing costs, which indicates value destruction and may pose long-term profitability issues.

WACC

22.08

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

0.06

indicates that the company uses more equity than debt, suggesting prudent management.

Free cash flow per share

0.89

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

0.00 %

the dividend payout ratio is the measure of dividends paid out to shareholders relative to the company's net income.

Earnings per share

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Financials

Piotroski score
6 indicates moderate financial health
Altman score
118.05 indicates good financial health and low risk of bankruptcy
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Cash / Debt

Cash Ratio
2.65 indicates that the company has sufficient cash to cover its short-term debts
Debt Ratio
0.04 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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