Semiconductors · NASDAQ
Current Price
$115.75
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on Arm Holdings plc American Depositary Shares with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
Arm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products. It offers microprocessors, systems intellectual property (IPs), graphics processing units, physical IP and associated systems IPs, software, tools, and other related services. Its products are used in various markets, such as automotive, computing infrastructure, consumer technologies, and Internet of things. The company operates in the United States, the People's Republic of China, Taiwan, South Korea, and internationally. The company was founded in 1990 and is headquartered in Cambridge, the United Kingdom. Arm Holdings plc operates as a subsidiary of Kronos II LLC.
ROIC (TTM)
9.3%
ROE (TTM)
11.0%
FCF Yield
0.79%
Based on trailing twelve-month data, ARM shows a free cash flow per share of N/A and a ROIC of 9.3%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of 0.79% are important context metrics when evaluating ARM's stock valuation relative to peers.
The intrinsic value of ARM depends on your assumptions about future growth rate, discount rate (WACC), and terminal value. Use MiniValuator's free DCF stock valuation calculator to estimate it with your own assumptions and see the sensitivity analysis heatmap.
Whether ARM is undervalued depends on your DCF assumptions. If the calculated intrinsic value is significantly above the current market price, it may be undervalued. The margin of safety indicates the degree of undervaluation. Run a full stock valuation on MiniValuator to find out.
You can value ARM using MiniValuator's DCF stock valuation calculator: enter the ticker, review auto-filled fundamentals, adjust growth rate and discount rate assumptions, then get an instant intrinsic value with sensitivity heatmap.
DCF (Discounted Cash Flow) stock valuation estimates a company's intrinsic value by discounting projected future free cash flows back to their present value. For ARM, you input expected growth rates and a discount rate (WACC), and the model calculates what the stock should be worth today based on its future cash generation.
WACC (Weighted Average Cost of Capital) is the discount rate used in ARM stock valuation. A higher WACC lowers the intrinsic value estimate, while a lower WACC raises it. Use MiniValuator's sensitivity heatmap to see how different WACC assumptions impact the ARM DCF valuation result.
