Is Arm Holdings plc American Depositary Shares (ARM) Undervalued? Valuation & Fair Price
At $310.32, the frameworks are split on Arm Holdings plc American Depositary Shares today — Warren Buffett and Phil Town (Rule #1) rate it Avoid and Benjamin Graham and Peter Lynch rate it Hold. Each model calculates its own fair value and margin of safety; create a free account to see the exact buy price behind every verdict.
Arm Holdings plc American Depositary Shares
ARMTechnology · Semiconductors · NASDAQ
$310.32
P/E 280.3×
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.
Investor scorecard
How the four investors rate Arm Holdings plc American Depositary Shares
A split decision across the frameworks
Investor model analysis
Details lockedAt $310.32, 2 of 4 frameworks say Avoid
Intrinsic Value (DCF)
Warren Buffett's valuation model · select an investor above to switch
Intrinsic Value
Locked — upgrade to viewBuy Below
Locked — upgrade to viewStrong Buy
Locked — upgrade to viewMargin of Safety
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Insider & congress activity
Are insiders buying ARM?
Over recent SEC Form 4 filings, ARM insiders bought $0 and sold $44.9M of stock across 18 open-market trades. Insiders sell for many reasons, but they buy for one.
| Insider | Action | Shares | Value | Date |
|---|---|---|---|---|
| Child JasonChief Financial Officer | Sell | 10,400 | $3.1M | Sep 21, 2026 |
| Child JasonChief Financial Officer | Sell | 10,400 | $2.7M | Aug 27, 2026 |
| Bartels Laura KathleenChief Accounting Officer | Sell | 11,306 | $4.4M | Jun 2, 2026 |
| Abbey WilliamChief Commercial Officer | Sell | 4,200 | $1.4M | May 28, 2026 |
| Abbey WilliamChief Commercial Officer | Sell | 2,300 | $703K | May 22, 2026 |
Members of Congress have also reported 4 trades in ARM. See the full insider & congress timeline.
Source: SEC Form 4 filings. Open-market buys & sells only. Not investment advice.
See the interactive insider chart & every tradeScenario analysis
Bear, base & bull
Three growth assumptions, three fair values — and where today's price lands
What's working
Key strengths
Identified by Buffett framework analysis
Company financials
5-Year Financials
Income statement highlights — annual, USD
| Metric | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Revenue | $4.9B | $4.0B | $3.2B | $2.7B | $2.7B |
| Rev. Growth | +22.8% | +23.9% | +20.7% | -0.9% | — |
| Net Income | $904M | $792M | $306M | $524M | $549M |
| Net Margin | 18.4% | 19.8% | 9.5% | 19.6% | 20.3% |
| EPS (Diluted) | $0.85 | $0.75 | $0.30 | $0.51 | $0.54 |
| Free Cash Flow | Locked — upgrade to view | Locked — upgrade to view | Locked — upgrade to view | Locked — upgrade to view | Locked — upgrade to view |
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Educational Use Only · Not Financial Advice
Analysis, scores, valuations, and buy zones are derived from publicly documented investor frameworks (Buffett, Lynch, Benjamin Graham, Phil Town) for learning purposes only. They are not recommendations from licensed financial advisors. Past performance does not guarantee future results. Prices may be delayed up to 15 minutes. Always conduct your own research before making any investment decisions.