Arm Holdings plc (ARM) saw a significant rise in its stock price on December 2, 2024, closing at $140.34, up 4.51% from the previous close of $134.29. The stock opened at $134.29 and reached an intraday high of $141.40, with trading volume at 4,419,399 shares, about 76% of its average daily volume. The upward momentum was fueled by a combination of factors, including increased call volume indicating bullish sentiment and positive analyst actions. Evercore ISI raised its target price for ARM, and Wells Fargo initiated coverage with an "overweight" rating, both contributing to investor optimism.
Additionally, recent U.S. export restrictions on China's semiconductor industry, announced on December 2, 2024, may have indirectly benefited ARM by potentially reducing competition from Chinese chipmakers. Institutional interest also played a role, with Avalon Global Asset Management LLC and Paloma Partners Management Co acquiring significant stakes in ARM, signaling confidence in the company's growth potential. These developments, coupled with the bullish market sentiment, drove ARM's stock higher throughout the trading day.