Wells Fargo Raises Arm Holdings (ARM) Price Target on AI Growth Momentum
Despite not releasing an official fiscal 2026 forecast owing to tariff uncertainties, Arm Holdings plc (NASDAQ:ARM) had previously predicted that royalty revenue would increase by a percentage range of the high teens to low twenties year-over-year.
Wells Fargo anticipates that Arm Holdings plc (NASDAQ:ARM) will continue to maintain an above-target annual contract value and licensing revenue growth at 20% year-over-year, owing to the growing demand for licenses related to AI computing requirements.
Arm Holdings plc (NASDAQ:ARM) is British software design and semiconductor company. The company provides microprocessors, graphics processing units, systems intellectual property (IPs), and other associated services.
While we acknowledge the potential of ARM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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