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Feb 4, 2026 4:51 PM

Arm Holdings Stock Slides On Q3 Earnings, AI Demand 'Continues To Accelerate'

Arm Holdings Plc (NASDAQ:ARM) reported financial results for the third quarter of fiscal 2026 after the market close on Wednesday. Here's a rundown of the chip designer’s report.

ARM Holdings stock is losing ground. Why is ARM stock trading lower?

Arm Exceeds Analyst Expectations In Q3

Arm reported fiscal third-quarter revenue of $1.24 billion, beating analyst estimates of $1.22 billion. The company reported adjusted earnings of 43 cents per share for the quarter, beating estimates of 41 per share, according to Benzinga Pro.

Total revenue was up 26% year-over-year in the quarter. Royalty revenue climbed 27% year-over-year to $737 million, driven by growth across target end markets, including AI and ...