Arm Holdings plc American Depositary Shares (ARM) Price Target Analysis
Wall Street analyst price targets, ratings consensus & upside potential · Updated May 1, 2026
Current Price
$208.84
Price Target
$163.75
Target Range
$120.00 — $210.00
Analyst Rating
Buy
Forward P/E119.1x
Trailing P/E278.5x
Forward PEG—
Implied Growth+125.8%
Median Target$170.00
Analyst Spread55.0%
Price Forecast (1 Year)
Last 12 months price action with 12-month analyst target path
Bear Case
$120
-42.5%
Consensus
$164
-21.6%
Bull Case
$210
+0.6%
Valuation Model TargetsConfidence: 55/100
Bear$18
Base$126
Bull$188
ARM Price Target Analysis
Updated May 6, 2026As of May 6, 2026, Arm Holdings plc American Depositary Shares (ARM) has a Wall Street consensus price target of $163.75, based on estimates from 27 covering analysts. With the stock currently trading at $208.84, this represents a potential downside of -21.6%. The company has a market capitalization of $220.74B.
Analyst price targets range from a low of $120.00 to a high of $210.00, representing a 55% spread in expectations. The median target of $170.00 aligns closely with the consensus average. The wide target spread reflects significant disagreement on fair value.
The current analyst consensus rating is Buy, with 20 analysts rating the stock as a Buy or Strong Buy,5 rating it Hold, and 2 rating it Sell or Strong Sell. This overwhelmingly bullish sentiment suggests analysts see significant catalysts for upside ahead.
From a valuation perspective, ARM trades at a trailing P/E of 278.5x and forward P/E of 119.1x. Analysts expect EPS to grow +125.8% over the next year.
Our proprietary valuation model, which blends historical multiples with forward estimates, suggests a base-case price target of $126.26, with bear and bull scenarios of $17.68 and $188.40 respectively. Model confidence stands at 55/100, reflecting moderate uncertainty in projections.
Investment Context: Price targets represent analyst expectations for the next 12 months and should be considered alongside your own research. Targets are based on analysts' assumptions about earnings growth, margins, and market conditions which may change. For sector-specific context, view other Technology stocks.
Analyst Sentiment Comparison
Industry Peer AnalysisAvg Peer Upside-3.0%
Avg Forward P/E54.2x
Peers with Coverage10 / 10
| Company | Market Cap | Price | Target | Upside | Rating | Fwd P/E | Analysts |
|---|---|---|---|---|---|---|---|
 CEVACEVA, Inc. | $810M | $33.72 | $29.33 | -13.0% | Buy | 67.3x | 23 |
 SNPSSynopsys, Inc. | $96.3B | $502.76 | $543.57 | +8.1% | Buy | 34.8x | 27 |
 CDNSCadence Design Systems, Inc. | $97.6B | $353.63 | $370.83 | +4.9% | Buy | 44.5x | 31 |
 QCOMQUALCOMM Incorporated | $196.6B | $186.56 | $175.00 | -6.2% | Hold | 17.4x | 69 |
 INTCIntel Corporation | $543.2B | $108.18 | $77.18 | -28.7% | Hold | 103.7x | 84 |
 AMDAdvanced Micro Devices, Inc. | $579.2B | $355.26 | $310.86 | -12.5% | Buy | 51.9x | 70 |
 NVDANVIDIA Corporation | $4.8T | $196.50 | $278.83 | +41.9% | Buy | 23.7x | 79 |
 MRVLMarvell Technology, Inc. | $146.1B | $168.75 | $129.52 | -23.2% | Buy | 44.0x | 72 |
 MPWRMonolithic Power Systems, Inc. | $78.0B | $1588.72 | $1615.00 | +1.7% | Buy | 73.7x | 25 |
 SLABSilicon Laboratories Inc. | $7.2B | $218.27 | $211.60 | -3.1% | Buy | 80.6x | 37 |
Upside Potential Comparison
NVDASNPSCDNSMPWRSLABQCOMAMDCEVAFull ARM Stock Analysis
Analyst consensus, bull case, AI-generated risk factors, and peer comparison — all in one place.
Should I Buy ARM Right Now?
Bull case, key risks, Wall St analyst verdict, and what council investors are saying — updated daily.
See ARM's True Return
Price is only half the story. See total return with reinvested dividends.
Launch CalculatorIs ARM Undervalued?
DCF intrinsic value, peer multiples, and analyst estimates — see what the stock is really worth.
View ValuationCompare ARM vs NVDA
Side-by-side business, growth, and profitability comparison vs NVIDIA Corporation.
Start ComparisonARM — Frequently Asked Questions
Quick answers to the most common questions about buying ARM stock.
What is the ARM stock price target for 2026?
ARM's consensus price target is $163.75, -21.6% below the current price of $208.839. The 27 analysts tracking ARM see downside risk at present valuations.
Is ARM a buy, sell, or hold?
ARM has a consensus rating of "Buy" based on 27 Wall Street analysts. The rating breakdown is predominantly bullish, with 20 Buy/Strong Buy ratings. The consensus 12-month price target of $163.75 implies -21.6% downside from current levels.
Is ARM stock overvalued or undervalued?
At a forward P/E of 119.1323x, ARM trades at a premium valuation. The consensus price target of $163.75 (-21.6% downside) suggests analysts may view current valuations as stretched.
How high can ARM stock go?
The most bullish Wall Street analyst has a price target of $210 for ARM, while the most conservative target is $120. The consensus of $163.75 represents the median expectation. Our quantitative valuation model projects a bull case target of $188 based on optimistic growth and margin assumptions. These targets typically reflect 12-month expectations.
How many analysts cover ARM stock?
ARM is heavily covered by Wall Street, with 27 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 20 have Buy ratings, 5 recommend Hold, and 2 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.
What is the ARM stock forecast?
The 12-month ARM stock forecast based on 27 Wall Street analysts shows a consensus price target of $163.75, with estimates ranging from $120 (bear case) to $210 (bull case). The median consensus rating is "Buy". Our proprietary valuation model produces a base case fair value of $126, with bear/bull scenarios of $18/$188.
What is ARM's fair value based on fundamentals?
Our quantitative valuation model calculates ARM's fair value at $126 (base case), with a bear case of $18 and bull case of $188. The model uses discounted cash flow analysis, historical growth rates, and margin mean-reversion to project FY+2 earnings, then applies an appropriate P/E multiple. The model confidence score is 55/100.
What is ARM's forward P/E ratio?
ARM trades at a forward P/E ratio of 119.1x based on next-twelve-months earnings estimates compared to a trailing P/E of 278.5x. The lower forward P/E indicates analysts expect earnings growth. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.
Should I buy ARM stock?
Analysts are cautious on ARM, with 2 Sell ratings and a price target of $163.75 (-21.6% from current price). The "Buy" consensus suggests careful evaluation before buying. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.
Why do ARM price targets vary so much?
ARM analyst price targets range from $120 to $210, a 55% wide spread indicating significant analyst disagreement. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $163.75 consensus represents the middle ground. Our model's $18-$188 range provides an independent fundamental perspective.