Arm Holdings Slumps as Bernstein Issues Rare Bearish Call
- Broker cites valuation and weakness outside of AI revenue
- Stock is among year’s biggest winners of AI-driven boom
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US-listed shares of Arm Holdings PLC fell 4.5% in premarket trading after Bernstein lowered its view on the chip-design company — one of the biggest winners of this year’s artificial intelligence spending boom.
Analyst Sara Russo cut her view to underperform from market perform, becoming a rare analyst with the equivalent of a sell rating on the stock. Her $100 price target represents downside of more than 35% from Arm’s last close.