Arm Holdings’ stocks increase by 29 percent on robust demand for AI technology
Date
2/13/2024 7:33:50 AM
(MENAFN) Arm Holdings, a UK-based computer chip designer, witnessed a remarkable surge in its stock price on Monday, with shares soaring by more than 29 percent. This continued rally was primarily attributed to the robust demand for artificial intelligence (AI) technology.
Closing at USD149 per share on the Nasdaq, the company's stock price marked a substantial daily gain of 29.33 percent. The momentum in its shares has been remarkable over recent trading sessions, with a 1.66 percent rise on Friday, a staggering 47.89 percent surge on Thursday, and a 5.52 percent increase on Wednesday. Notably, the stock price soared by an impressive 104 percent within just four trading days.
The significant uptick in Arm Holdings' stock value followed the company's announcement regarding the escalating demand for AI technology on a global scale. This surge underscores the growing recognition and adoption of AI solutions across various industries, fueling optimism among investors regarding Arm Holdings' market position and future prospects.
"Arm’s licensing revenue was supported by increasing demand for new technology driven by all things AI," the company stated last Wednesday in a letter to stockholders.
"From the most complex AI cloud applications to the smallest edge devices, AI on Arm is everywhere."
Arm Holdings' IPO on the Nasdaq in September stood out as one of the largest of 2023, generating close to USD4.9 billion in funds.
In recent months, there has been notable interest from major players like Apple, Samsung, Intel, and Nvidia in investing in Arm Holdings.
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