Arm's Q1 Revenue Surpasses $1 Billion Despite Stock Decline
Arm Holdings reported Q1 earnings that matched estimates but issued a cautious outlook, leading to an over 8% drop in its stock price. The company's revenue was driven by a 25% increase in royalty income, despite a slight decline in licensing revenue. Arm highlighted strong growth in its Neoverse data center chips, which are increasingly used in AI workloads and cloud infrastructure. The stock remains on several IBD lists, reflecting its significance in the tech sector.