What's Going On With Arm Holdings Stock Tuesday?

Arm Holdings Plc ARM aims to capture over 50% of the Windows PC market within five years, according to CEO Rene Haas.

The stock is trading lower Tuesday after closing higher by over 5% Monday.

Arms expectations follow Microsoft Corp’s MSFT recent plans to launch a new generation of AI-enhanced PCs using Arm’s technology, positioning them against Alphabet Inc GOOG GOOGL and Apple Inc AAPL, Reuters reports.

The push comes as Microsoft commits to supporting Arm-based chips with advanced developer tools, potentially reshaping a market long dominated by Intel Corp’s INTC x86 chips.

Microsoft’s hardware partners, including Asus and Dell, are set to release devices featuring Arm’s technology.

According to Reuters, CEO Rene Haas eyes 100 billion AI-ready Arm devices worldwide by 2025.

Analysts expressed their confidence in Arm Holdings backed by licensing interest and potential in AI and datacenter markets.

Advanced Micro Devices, Inc AMD is also eying the AI PC market.

Arm stock gained 100% in the last 12 months. Investors can gain exposure to the semiconductor sector via ProShares Ultra Semiconductors USD and Invesco PHLX Semiconductor ETF SOXQ.

ARM Price Action: At the last check on Tuesday, Arm shares traded lower by 1.00% to $125.85 premarket.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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