52 Hedge Funds Back This Semiconductor Stock – What’s the Catch?

What happened: Arm Holdings plc (ARM) placed 10th on a list of high P/E stocks trading under their 200-day simple moving average, with 52 hedge funds bullish on the stock. Key numbers: Trailing P/E of 200.71. Second-quarter fiscal 2027 revenue up 27% year over year to $1.44 billion. Licensing and other revenue up 50% to $773 million. Royalty revenue up 8%. Why it matters: The content notes that a drop below the 200-day moving average does not necessarily make a high P/E stock inexpensive, and that the timing and profitability of Arm's new silicon products matter alongside licensing growth.

Arm Holdings plc (ARM) placed 10th on a list of high P/E stocks trading under their 200-day simple moving average, with 52 hedge funds bullish on the stock.

The content notes that a drop below the 200-day moving average does not necessarily make a high P/E stock inexpensive, and that the timing and profitability of Arm's new silicon products matter alongside licensing growth.