The firm cited strong DRAM and NAND demand through 2027 and growth in agentic AI as key drivers for the increased target.
Mizuho increased its price target for Arm Holdings (NASDAQ:ARM) to $360 from $290, maintaining an Outperform rating. The adjustment follows analysis of the memory market and the impact of agentic AI, with expectations of sustained DRAM demand into 2027 and expanding high bandwidth memory markets.
Arm Holdings reported record fiscal Q4 2026 revenue of $1.49 billion, with full-year revenue at $4.92 billion. Royalty revenue also hit a record $2.61 billion for the year, driven by growth in Edge AI, smartphones, and Cloud AI, where data center royalties more than doubled year-over-year.
The firm’s outlook reflects confidence in semiconductor demand, particularly in AI-related segments, as Arm’s technology underpins expanding applications in data centers and edge devices.