Based on the key indicators related to Arm Holdings' liquidity, profitability, solvency, and operating efficiency, Arm Holdings plc is not in a good financial situation at this time. It has a very high probability of going through financial hardship in February. At this time, Arm Holdings' Other Current Assets are very stable compared to the past year. As of the 6th of January 2026, Total Liabilities is likely to grow to about 2.1 B, while Short and Long Term Debt Total is likely to drop about 292.1 M. Key indicators impacting Arm Holdings' financial strength include:
Investors should never underestimate Arm Holdings' ability to pay suppliers on time, ensure interest payments are not accumulating, and correctly time where and how to reinvest extra cash. Individual investors need to monitor Arm Holdings' cash flow, debt, and profitability to make informed and accurate decisions about investing in Arm Holdings plc.
Understanding current and past Arm Holdings Financials, including the trends in assets, liabilities, equity and income are directly related to making proper and timely investing decisions. All of Arm Holdings' financial statements are interrelated, with each one affecting the others. For example, an increase in Arm Holdings' assets may result in an increase in income on the income statement.
Comparative valuation techniques use various fundamental indicators to help in determining Arm Holdings's current stock value. Our valuation model uses many indicators to compare Arm Holdings value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Arm Holdings competition to find correlations between indicators driving Arm Holdings's intrinsic value. More Info.
Arm Holdings plc is rated below average in return on equity category among its peers. It is rated below average in return on asset category among its peers reporting about 0.49 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Arm Holdings plc is roughly 2.04 . At this time, Arm Holdings' Return On Equity is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Arm Holdings by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.
Arm Holdings plc Systematic Risk
Arm Holdings' systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Arm Holdings volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
The output start index for this execution was three with a total number of output elements of fifty-eight. The Beta measures systematic risk based on how returns on Arm Holdings plc correlated with the market. If Beta is less than 0 Arm Holdings generally moves in the opposite direction as compared to the market. If Arm Holdings Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Arm Holdings plc is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Arm Holdings is generally in the same direction as the market. If Beta > 1 Arm Holdings moves generally in the same direction as, but more than the movement of the benchmark.
Today, most investors in Arm Holdings Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Arm Holdings' growth ratios. Consistent increases or decreases in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's growth growth rates may not be enough to decide which company is a better investment. That's why investors frequently use static breakdown of Arm Holdings growth as a starting point in their analysis.
Along with financial statement analysis, the daily predictive indicators of Arm Holdings help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Arm Holdings plc. We use our internally-developed statistical techniques to arrive at the intrinsic value of Arm Holdings plc based on widely used predictive technical indicators. In general, we focus on analyzing Arm Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Arm Holdings's daily price indicators and compare them against related drivers.
When determining whether Arm Holdings plc is a strong investment it is important to analyze Arm Holdings' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Arm Holdings' future performance. For an informed investment choice regarding Arm Stock, refer to the following important reports:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Arm Holdings plc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population.
You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Arm Holdings. If investors know Arm will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Arm Holdings listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
1.2
Earnings Share
0.78
Revenue Per Share
4.178
Quarterly Revenue Growth
0.345
Return On Assets
0.0605
The market value of Arm Holdings plc is measured differently than its book value, which is the value of Arm that is recorded on the company's balance sheet. Investors also form their own opinion of Arm Holdings' value that differs from its market value or its book value, called intrinsic value, which is Arm Holdings' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Arm Holdings' market value can be influenced by many factors that don't directly affect Arm Holdings' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Arm Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if Arm Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Arm Holdings' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.