First Trust Exchange-Traded Fund VIII FT Vest U.S. Equity Uncapped Accelerator ETF - January (BATS: UXJA)

Latest news for First Trust Exchange-Traded Fund VIII FT Vest U.S. Equity Uncapped Accelerator ETF - January (BATS:UXJA)

Under normal market conditions, the Fund will invest substantially all of its assets in FLexible EXchange Options (FLEX Options) that reference the price performance of the SPDR S&P 500 ETF Trust (the Underlying ETF). FLEX Options are customized equity or index option contracts that trade on an exchange, but provide investors with the ability to customize key contract terms like exercise prices, styles and expiration dates.

FT Vest US Equity Uncapped Accelerator ETF - January

First Trust Exchange-Traded Fund VIII FT Vest U.S. Equity Uncapped Accelerator ETF - January

Linde (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LIN#NASDAQ">LIN</a>) reported quarterly earnings of $3.97 per share which beat the analyst consensus estimate of $3.93 by 1.02 percent. This is a 10.58 percent increase over earnings of $3.59 per share from the same period last year. The company reported quarterly sales of $8.28 billion which missed the analyst consensus estimate of $8.39 billion by 1.28 percent. This is a 0.24 percent decrease over sales of $8.30 billion the same period last year.

Earnings

Earnings Beats

Earnings Misses

News

Linde Q4 2024 Adj EPS $3.97 Beats $3.93 Estimate, Sales $8.28B Miss $8.39B Estimate

Raymond James analyst Robert Dodd downgrades Ares Capital (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARCC#NASDAQ">ARCC</a>) from Outperform to Market Perform.

Downgrades

Analyst Ratings

ARCC

Raymond James Downgrades Ares Capital to Market Perform

U.S. stock futures rose on Thursday following Wednesday&#8217;s advances as investors digest tariff pauses by the Trump administration amid earnings reports. All four benchmark indices were trading higher.
Heavyweight Amazon.com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) along with Eli Lilly And Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LLY#NYSE">LLY</a>), Fortinet Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTNT#NASDAQ">FTNT</a>), Thomson Reuters Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TRI#NYSE">TRI</a>), Cloudflare Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NET#NYSE">NET</a>) and Roblox Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RBLX#NYSE">RBLX</a>) are a few companies that will report their earnings today.
The 10-year Treasury yield stood at 4.44%, while the two-year yield was at 4.21%. According to the CME Group's FedWatch <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">tool</a>, there is an 85.5% chance that the Federal Reserve will keep interest rates unchanged for the March meeting.
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>Futures</td>
<td>Change (+/-)</td>
</tr>
<tr>
<td>Nasdaq 100</td>
<td>0.20%</td>
</tr>
<tr>
<td>S&amp;P 500</td>
<td>0.24%</td>
</tr>
<tr>
<td>Dow Jones</td>
<td>0.36%</td>
</tr>
<tr>
<td>Russell 2000</td>
<td>0.33%</td>
</tr>
</tbody>
</table>
</figure>
The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) both experienced positive premarket trading on Thursday. SPY rose 0.22% to $605.57, and QQQ advanced 0.22% to $528.03, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data.
Cues From The Last Session
Real estate, information technology, and financial sectors led the <a href="https://www.benzinga.com/news/earnings/25/02/43520435/dow-rises-over-300-points-as-nvidia-surges-investor-sentiment-improves-but-greed-index-remains-in-fear-zone">gains</a> in U.S. stocks on Wednesday, however, communication services and consumer discretionary stocks declined, bucking the overall market trend. 
Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) shares jumped over 5% following positive results from Advanced Micro Devices Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>) and Google&#8217;s increased FY25 capital expenditure guidance. The Walt Disney Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DIS#NYSE">DIS</a>) also reported better-than-expected first-quarter financial results.
On the economic front, the U.S. trade deficit widened to $98.4 billion in December, exceeding market expectations of $96.6 billion and up from a revised $78.9 billion in November. The ISM services PMI fell to 52.8 in January, below the estimated 54.3 and a revised 54 in December.
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>Index</td>
<td>Performance (+/-)</td>
<td>Value</td>
</tr>
<tr>
<td>Nasdaq Composite</td>
<td>0.19%</td>
<td>19,692.33</td>
</tr>
<tr>
<td>S&amp;P 500</td>
<td>0.39%</td>
<td>6,061.48</td>
</tr>
<tr>
<td>Dow Jones</td>
<td>0.71%</td>
<td>44,873.28</td>
</tr>
<tr>
<td>Russell 2000</td>
<td>1.14%</td>
<td>2,316.23</td>
</tr>
</tbody>
</table>
</figure>
Insights From Analysts
Despite recent market volatility, a &#8220;buy the dip&#8221; mentality remains prevalent among investors, according to Liz Ann Sonders, chief investment strategist at Schwab. According to Schwab&#8217;s <a href="https://international.schwab.com/story/stock-market-update-open">daily commentary</a>, Sonders noted that money continues to seek opportunities, with &#8220;stealthy, quiet participation&#8221; emerging in sectors beyond the &#8220;Magnificent Seven&#8221; tech stocks.
She emphasized that this diversification is a healthy sign, predating the recent tariff-related concerns. However, Sonders cautioned that the market should brace for continued &#8220;rapid-fire sector rotations,&#8221; citing the recent movement of tech and defensive stocks. These sector-related gyrations, she predicted, are likely to persist for some time.
Scott Wren, the senior global market strategist at Wells Fargo <a href="https://www.wellsfargoadvisors.com/research-analysis/commentary/stock-market-commentary.htm">said</a> that he views the tariff threats so far as bargaining chips the U.S. president is using to encourage agreement from the leaders of various countries. He highlighted that &#8220;bringing more manufacturing back to the U.S., particularly from China and Mexico, is a goal but will take time.&#8221;
The market momentum remains positive overall, though the numerous policy changes under a potential second Trump administration are likely to fuel further volatility, said Louis Navellier of Navellier &amp; Associates.
He highlighted the new administration&#8217;s apparent push for lower interest rates and energy prices, noting that both appear to be underway and are positive indicators for economic growth.
However, tariffs remain a significant wildcard due to the unpredictable nature of potential responses, particularly from China, a major U.S. trade partner. Navellier pointed out that earnings have been encouraging, and smaller capitalized stocks are performing well. Looking ahead, he suggests that if current trends continue, the Federal Reserve could eventually implement rate cuts, which would further boost market momentum.
Upcoming Economic Data
Here&#8217;s what investors will keep an eye on Thursday:
<ul>
<li>Initial jobless claims till Feb. 1 and the U.S. productivity data for the fourth quarter will be out at 8:30 a.m., ET.</li>
</ul>
<ul>
<li>Fed Governor Christopher Waller will speak at 2:30 p.m. and Dallas Fed President Lorie Logan will speak at 5:10 p.m., ET.</li>
</ul>
Stocks In Focus:
<ul>
<li>Amazon.com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) advanced 0.61% in premarket on Thursday ahead of its earnings, which will be released after market close. Analysts expect it to report quarterly earnings of $1.49 per share on revenue of $187.31 billion.</li>
</ul>
<ul>
<li>Honeywell International Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HON#NASDAQ">HON</a>) was down 0.54% as Wall Street expects it to report quarterly earnings of $2.32 per share on revenue of $9.83 billion before the opening bell.</li>
</ul>
<ul>
<li>Bristol-Myers Squibb Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BMY#NYSE">BMY</a>) slipped 0.27% ahead of its earnings before the opening bell. Analysts expect it to report quarterly earnings of $1.46 per share on revenue of $11.57 billion.</li>
</ul>
<ul>
<li>Eli Lilly And Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LLY#NYSE">LLY</a>) slid 0.73% as Wall Street expects it to report quarterly earnings of $5.08 per share on revenue of $13.43 billion before the opening bell.</li>
</ul>
<ul>
<li>Arm Holdings Plc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>) declined 5.08% despite reporting better-than-expected third-quarter financial results for fiscal year 2025 as it narrowed its next quarter and full-year&#8217;s guidance.</li>
</ul>
<ul>
<li>Ford Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>) fell 5.09% despite upbeat fourth-quarter financial results but forecasted a tougher year.</li>
</ul>
<ul>
<li>Sangoma Technologies Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SANG#NASDAQ">SANG</a>) was down 5.07% after it reported a loss in the second quarter and missed revenue estimates.</li>
</ul>
<ul>
<li>Rani Therapeutics Holdings Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RANI#NASDAQ">RANI</a>) was up 40.97% after successful preclinical data for oral delivery of semaglutide which is used to treat type-2 diabetes.</li>
</ul>
Commodities, Gold And Global Equity Markets:
Crude oil futures were trading higher in the early New York session by 0.59% to hover around $71.45 per barrel.
The gold spot index was down by 0.29% to $2,859.30 per ounce. The Dollar Index was down 0.39% at 107.998 level.
Asian markets were trading higher on Thursday. China's CSI 300, Hong Kong's Hang Seng, Australia's ASX 200, South Korea's Kospi, and Japan's Nikkei 225 index advanced. European markets were mostly higher in trade.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/general/market-summary/25/02/43491799/meta-ai-models-clearly-behind-deepseek-says-analysts-after-mark-zuckerberg-admitted-deepseek-did-some-novel-things-were-still-digesting">Meta AI Models ‘Clearly Behind' DeepSeek, Says Analyst After Mark Zuckerberg Admits DeepSeek Did Some Novel Things ‘We're Still Digesting'</a></li>
</ul>
Photo courtesy: Shutterstock

Analyst Color

Equities

Futures

Economics

Pre-Market Outlook

Markets

AMZN

FTNT

NVDA

RANI

RBLX

SANG

US Stocks Likely To Open Higher Ahead Of Amazon's Earnings: 'Buy The Dip' Mentality Remains Prevalent, Says Analyst

Mizuho analyst Vijay Rakesh downgrades Skyworks Solutions (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SWKS#NASDAQ">SWKS</a>) from Outperform to Neutral and lowers the price target from $105 to $62.

Price Target

SWKS

Mizuho Downgrades Skyworks Solutions to Neutral, Lowers Price Target to $62

Goldman Sachs analyst Toshiya Hari maintains ARM Holdings (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>) with a Buy and raises the price target from $159 to $174.

Goldman Sachs Maintains Buy on ARM Holdings, Raises Price Target to $174

The Wall Street Journal Reported Honeywell to Split Into Three Companies, Separating Aerospace From Automation, With Announcement Expected Thursday

Chinese hedge fund High-Flyer, also known as Hangzhou Huanfang Technology Ltd. Co., founded DeepSeek in 2023 intending to explore artificial general intelligence (AGI), however, much before the AI startup became popular and sent shockwaves through the world of technology, this quantitative fund was involved with several innovations in China.
<h3 class="wp-block-heading">Top Projects Before DeepSeek</h3>
<ol>
<li>High-Flyer developed its first AI supercomputer &#8220;Yinghuo &#8211; 1&#8221; in 2020, which translates to, Fire-Flyer I, with an approximate investment of 200 million Yuan or $27.44 million, according <a href="https://www.chinatalk.media/p/deepseek-from-hedge-fund-to-frontier">to</a> ChinaTalk. Deployed in the same year with 1,100 graphic processing units (GPUs), it provided computing power for AI-led research to facilitate quantitative trading.</li>
<li>With an investment of one billion Yuan or $137.204 million, it launched &#8220;Yinghuo &#8211; 2&#8221; or Fire-Flyer II in 2021 which featured around 10,000 Nvidia Corp.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) A100 GPUs. It also featured cutting-edge hardware and 200 Gbps high-bandwidth connectivity.</li>
<li>After losing over a third of its investors&#8217; money in 2022, dropping from a peak of over $12 billion, as reported by Reuters, the hedge fund announced a shift in strategy. High-Flyer, via its official WeChat account, said that it would focus exclusively on developing AI technology for the benefit of humanity, forming a new independent research group dedicated to exploring the potential of AGI. This restructuring led to the creation of DeepSeek in 2023.</li>
</ol>
See Also: <a href="https://www.benzinga.com/general/market-summary/25/02/43491799/meta-ai-models-clearly-behind-deepseek-says-analysts-after-mark-zuckerberg-admitted-deepseek-did-some-novel-things-were-still-digesting">Meta AI Models &#8216;Clearly Behind&#8217; DeepSeek, Says Analyst After Mark Zuckerberg Admits DeepSeek Did Some Novel Things &#8216;We&#8217;re Still Digesting&#8217;</a>
<h3 class="wp-block-heading">History Of High-Flyer</h3>
The company was founded by Liang Wenfeng, Xu Jin, and Zheng Dawei in February 2016 in Ningbo, Zhejiang Province. Relying on mathematics and AI for quantitative investment it took the first stock position by using the deep learning algorithm model and GPUs on Oct. 21, 2016.
Its subsidiaries, Zhejiang High-Flyer Asset Management Co., Ltd., and Ningbo High-Flyer Quant Investment Management Partnership LLP are regulated by the Asset Management Association of China.
The company won the Golden Bull Fund Award for the first time in 2018 and it established High-Flyer Capital Management (Hong Kong) Ltd in 2019, licensed and regulated by the Securities and Futures Commission of Hong Kong.
Wenfeng is now the CEO of DeepSeek, who owns approximately 51% of High-Flyer.
As of December 2024, High-Flyer has assets under management worth $8 billion, as per the report. 
See Also: <a href="https://www.benzinga.com/25/02/43519066/qualcomm-rides-ai-wave-to-record-quarter-but-q2-guidance-dampens-investors-dragging-the-stock-down">Qualcomm Rides AI Wave To Record Quarter, But Lowered Q2 Guidance Thanks To Seasonality And Apple Shipments Drags Down Stock</a>
<h3 class="wp-block-heading">What Is A Quantitative Hedge Fund?</h3>
Quantitative hedge funds or &#8216;quant&#8217; funds use sophisticated mathematical models, statistical analysis, and computer algorithms to identify trading opportunities. Relying on data analysis rather than traditional fundamental analysis, they employ strategies like statistical arbitrage, risk parity, and factor investing, using complex computer programs to analyze massive datasets and uncover exploitable market patterns.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/25/02/43519568/ubers-strong-q4-offset-by-11-billion-forex-headwind-currency-devaluation-thanks-to-tariff-wars-drives-weak-q1-outlook">Uber&#8217;s Strong Q4 Offset By $1.1 Billion Forex Headwind, Currency Devaluation: Ongoing Tariff Wars Drive Weak Q1 Outlook</a></li>
</ul>
Photo courtesy: Shutterstock

Market Summary

Hedge Funds

General

DeepSeek's Hedge Fund Owner Had Multiple Top Projects Before Creating The Firm That Fueled $1 Trillion Market Cap Erosion Of AI Stocks

The M5 chip, which is projected to power Apple Inc.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) upcoming MacBook Pro, iPad Pro, and Vision Pro, has reportedly entered mass production.
What Happened: The M5 chip is now being produced at scale, with Apple reportedly utilizing new process technology to boost AI performance, according to a <a href="https://9to5mac.com/2025/02/05/m5-chip-enters-mass-production-ready-for-macbook-pro-ipad-pro-vision-pro/">report</a> by 9to5Mac.
The new chip is anticipated to deliver enhanced AI performance and possibly a redesigned structure compared to earlier M-series chips. The Vision Pro is expected to benefit the most from the M5 chip, especially with the addition of Apple Intelligence features to the spatial computer—something the current M2-powered model lacks.
The new chip is also designed to run at lower temperatures, enabling it to maintain full power for longer durations before thermal throttling takes effect.
MacRumors reported that Apple delegates the front-end manufacturing stage of chip production on silicon wafers to Taiwan Semiconductors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>). With fabrication in progress, OSAT (Outsourced Semiconductor Assembly and Test) companies, such as Taiwan&#8217;s ASE Group, Amkor Technology (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMKR#NASDAQ">AMKR</a>) from the U.S. and China&#8217;s JCET manage the packaging process.
SEE ALSO: <a href="https://www.benzinga.com/news/global/25/02/43497924/apple-stock-is-sliding-wednesday-whats-driving-the-action">Apple Stock Is Sliding Wednesday: What&#8217;s Driving The Action?</a>
Why It Matters: Despite&nbsp;<a href="https://www.benzinga.com/tech/25/02/43424187/apples-struggles-in-ai-and-ar-indicate-a-loss-in-product-edge">struggles in AI and AR</a>&nbsp;indicating a potential decline in product innovation, the introduction of the M5 chip could be a game-changer for Apple. The&nbsp;chip is expected to bring&nbsp;significant improvements in AI performance, which has been a challenge for the tech giant.
Last year, Ming-Chi Kuo reported that the MacBook Pro could see a major power boost with a new chip packaging process. The M5 Pro chip may take a different approach by separating the CPU and GPU to improve performance and increase production yields.
The M5 chip is also expected to leverage the improved 3nm N3P architecture, leading to efficiency improvements by up to 10% and a performance bump of 5%, &nbsp;according to&nbsp;Wccftech. This could help resolve the thermal throttling issue, enabling devices to run at full power for longer periods.
With the M5 chip, Apple seems to be prioritizing its tablet family, with the updated iPad Pro series expected to be the first recipient of the new chip. This move could potentially boost the performance and appeal of Apple&#8217;s tablet lineup.
<ul>
<li>READ MORE: <a href="https://www.benzinga.com/25/01/43294364/apple-surprises-iphone-users-by-teaming-up-with-spacex-and-t-mobile-to-bring-starlink-satellite-texting-heres-what-you-need-to-know-about-the-new-feature">Apple Surprises Users With Starlink Beta, Teams Up With Elon Musk&#8217;s SpaceX And T-Mobile To Bring Satellite Texting For iPhone Users In iOS 18.3</a></li>
</ul>
Image via Shutterstock
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Tech

AAPL

AMKR

Apple's M5 Chip Enters Mass Production, Set To Power Upcoming MacBook Pro, iPad Pro And Vision Pro: Report

Outlook
<ul>
<li>The Company targets approximately 1,600 to 1,800 net new stores and capital expenditures in the range of approximately $700 million to $800 million for the 2025 fiscal year.</li>
<li>The Company plans to return $3 billion to shareholders in 2025 through 2026, adding to the $1.5 billion it delivered to shareholders in 2024.</li>
<li>The Company anticipates the franchise mix of net new stores will gradually increase to 40-50% for&nbsp;KFC and 20-30% for Pizza Hut over the next few years.</li>
</ul>

Guidance

YUMC

Yum China Targets $3B in Shareholder Returns Through 2026, 1,600-1,800 New Stores And Capex Of $700M-$800M For 2025, Expanding KFC and Pizza Hut Franchises

The Company has entered into share repurchase agreements in the U.S. and Hong Kong for an aggregate repurchase amount of approximately US$360 million through open market transactions for the first half of 2025. The share repurchase agreements include approximately US$290 million under Rule 10b5-1 of the U.S. Securities Exchange Act of 1934 in the U.S. and approximately HK$550 million for a similar program in Hong Kong.

Buybacks

Yum China Launches $360M Buyback Plan Across US and Hong Kong Markets

The Board declared a 50% increase in the cash dividend, raising it to $0.24 per share on Yum China's common stock, payable on March 27, 2025, to shareholders of record as of the close of business on March 6, 2025.

Dividends

Yum China Raised Cash Dividend Per Share By 50% To $0.24

<a href="https://www.wsj.com/tech/ai/lawmakers-push-to-ban-deepseek-app-from-u-s-government-devices-6a76151a" title="https://www.wsj.com/tech/ai/lawmakers-push-to-ban-deepseek-app-from-u-s-government-devices-6a76151a">https://www.wsj.com/tech/ai/lawmakers-push-to-ban-deepseek-app-from-u-s-government-devices-6a76151a</a>

Politics

Lawmakers Push to Ban DeepSeek App From U.S. Government Devices

Yum China Holdings Q4 2024 Adj. EPS $0.30 Beats $0.29 Estimate, Sales $2.595B Miss $2.631B Estimate

Goldman Sachs analyst Kash Rangan maintains Workday (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/WDAY#NASDAQ">WDAY</a>) with a Buy and raises the price target from $300 to $310.

WDAY

Goldman Sachs Maintains Buy on Workday, Raises Price Target to $310

Phoenix Motor Partners With Silicon Valley Firm To Launch Autonomous Food Delivery Electric Vehicles

Mercurity Fintech Holding Joins Russell Microcap Index, Boosting Market Visibility

NATL

NCR Atleos Introduces Cashzone ATMs In Italy, Enhancing Access To Cash Nationwide

<ul>
<li>Repsol continues to advance its Digital Program by incorporating AI agent systems, designed and deployed with the help of Accenture and built on the NVIDIA AI platform. This will enable the firm to accelerate and reinvent key business processes end to end in all areas of the company.</li>
<li>The multi-energy company deepens and boosts one of the key facets of its Digital Program and expands the objectives of its Generative AI Competence Center with the introduction of agentification.</li>
<li>With this agreement, Repsol reinforces its strategic positioning with the use of the next generation of artificial intelligence to improve efficiency, decarbonization, its relationship with customers and the promotion of new ways of working.</li>
</ul>

REPYY

Repsol Expands Digital Strategy With Accenture To Integrate AI Agents

Macro Economic Events

Econ #s

U.K. Construction Purchasing Managers Index For January 48.1 Vs. 53.5 Est.; 53.3 Prior

Arm Holdings plc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>) has affirmed its central position in the artificial intelligence ecosystem through its involvement in OpenAI&#8216;s ambitious $100 billion Stargate AI infrastructure project, as revealed during the company&#8217;s <a href="https://www.benzinga.com/news/earnings/25/02/43513408/arm-holdings-stock-slides-on-q3-earnings-revenue-beat-eps-beat-revised-guidance-and-more">third-quarter earnings call</a>.
What Happened: CEO Rene Haas highlighted Arm&#8217;s expanding role in AI infrastructure, noting strong momentum in data center deployments alongside partners OpenAI, Oracle Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>), and SoftBank Group (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SFTBY#OTC">SFTBY</a>). 
&#8220;We are very excited about the future, whether it&#8217;s about the near-term execution of our strategies with v9 and CSS to all the opportunities that Stargate and Cristal intelligence bring us,&#8221; Haas said. 
The company reported a <a href="https://www.benzinga.com/news/earnings/25/02/43513408/arm-holdings-stock-slides-on-q3-earnings-revenue-beat-eps-beat-revised-guidance-and-more">record total revenue</a> of $983 million, up 19% year-over-year, driven by increasing AI-related demand.
The Stargate project, set to begin with <a href="https://in.benzinga.com/news/25/01/43400191/openais-100-billion-texas-stargate-data-center-will-reportedly-employ-just-57-people-with-57600-annual-salaries">an 875-acre facility in Abilene, Texas</a>, represents a significant validation of Arm&#8217;s architecture in large-scale AI infrastructure. The initial phase includes a 200-megawatt data center, with plans to expand to 1.2 gigawatts &#8211; enough power to serve 200,000 homes.
See Also: <a href="https://www.benzinga.com/general/social-media/25/02/43517095/elon-musks-lenders-cash-in-5-5-billion-on-thanks-to-investor-demand-for-x-loans-report">Elon Musk&#8217;s Lenders Cash In $5.5 Billion Thanks To Investor Demand For X Loans: Report</a>
Why It Matters: The company&#8217;s involvement in Project DIGITS, a collaboration with NVIDIA Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), further demonstrates Arm&#8217;s growing influence in AI computing. The project combines Arm-based Grace CPUs with NVIDIA&#8217;s Blackwell GPUs to create what&#8217;s being marketed as the world&#8217;s smallest AI supercomputer.
Looking ahead, Arm expects continued growth, projecting fourth-quarter revenue between $1.175 billion and $1.275 billion. 
Price Action: Arm Holdings PLC closed at $173.26 on Wednesday, rising 6.82% for the day. However, in after-hours trading, the stock dropped to $162.37, losing 6.29%. Despite the after-hours decline, Arm has surged 137.41% over the past year, according to <a href="https://pro.benzinga.com/dashboard">data from Benzinga Pro</a>. 
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/02/43518087/trump-meme-coin-jumps-4-27-outpaces-bitcoin-ethereum-and-dogecoin-but-its-still-no-where-near-january-highs">TRUMP Meme Coin Jumps 4.27%, Outpaces Bitcoin, Ethereum And Dogecoin, But It&#8217;s Still Nowhere Near January Highs</a></li>
</ul>
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