Arm Holdings Q3 forecast tops expectations, shares rise

SAN FRANCISCO: Chip technology provider Arm Holdings gave a fiscal third-quarter forecast on Wednesday that topped Wall Street’s expectations, boosted by the boom in artificial intelligence computing.

Shares of Arm rallied 5% immediately after the report but retraced gains within minutes and were up about 3%.

For the current fiscal quarter, Arm forecast revenue of $1.23 billion at the midpoint of its guidance, which exceeded the average analyst estimate of $1.1 billion, according to LSEG data.