Arm, a United Kingdom-based tech company, saw a surge of its stock by over 30% on February 7, 2024. This is expected to take place after the company expected profits and sales before earnings for the current quarter to beat market expectations by a large margin.
The news saw Arm’s market capitalisation jump by $26 billion, with its stock price hitting a high of $108 before falling back to $93 at publication time. Arm stock has almost doubled in price from the $51 set at its initial public offering in September 2023.
“This is a very solid forecast from them and I think it’s probably a pretty good sign for the rest of the tech industry as a result,” Bob O’Donnell, president and chief analyst, TECHnalysis Research explained to Reuters.
It is believed that Arm’s financials are bucking an otherwise sluggish trend set by Intel, AMD and Texas Instruments. These are expected to report weaker results in 2024, concluded Cointelegraph.
(With insights from Cointelegraph)
