---
title: "Citi Raises Arm Holdings plc  Earnings Forecasts; 1QFY2027 Profit Beats Expectations"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/294335336.md"
description: "Citi raised its FY2027 revenue and operating profit forecasts for Arm Holdings by 1% and 4%, respectively, following Q1 results that beat expectations. Strong cloud AI and licensing growth offset weaker smartphone demand. Citi maintains a Buy rating with a $300 target price, citing AGI CPU demand exceeding $2 billion and viewing the stock as a key beneficiary of AI infrastructure."
datetime: "2026-07-30T09:27:02.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/294335336.md)
  - [en](https://longbridge.com/en/news/294335336.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/294335336.md)
generator: "portal-rs"
---

# Citi Raises Arm Holdings plc  Earnings Forecasts; 1QFY2027 Profit Beats Expectations

Citi published a research report stating that Arm Holdings plc (ARM.US) reported FY2027 first-quarter results, with revenue and earnings exceeding market expectations by 1% and 11%, respectively. Midpoint guidance for second-quarter revenue and earnings was also 3% and 10% above forecasts, respectively. The bank said strong growth in cloud AI and licensing businesses helped offset the impact from weaker demand and product mix in the smartphone market.

Citi raised its FY2027 revenue and operating profit forecasts by 1% and 4%, respectively. Management mentioned that demand for artificial general intelligence (AGI) CPUs has exceeded USD2 billion, while business visibility is improving. The bank therefore continues to view Arm Holdings plc (ARM.US) as a major beneficiary of AI infrastructure growth and believes the recent share price pullback provides a more attractive entry opportunity. It maintained its Buy rating with a target price of USD300.

Citi raised its FY2027 to FY2030 revenue forecasts for Arm Holdings plc (ARM.US) by around 1% to reflect strength in the licensing business, partly offset by weaker smartphone royalty revenue. Earnings forecasts for FY2027 and FY2029 were raised by 4% and 1%, respectively. (gc/a)(Real-time Streaming US Stocks Quote; Except All OTC quotes are at least 15 minutes delayed.)

### Related Stocks

- [ARM.US](https://longbridge.com/en/quote/ARM.US.md)
- [ARMW.US](https://longbridge.com/en/quote/ARMW.US.md)
- [ARMG.US](https://longbridge.com/en/quote/ARMG.US.md)
- [ARMU.US](https://longbridge.com/en/quote/ARMU.US.md)
- [C.US](https://longbridge.com/en/quote/C.US.md)
- [C-R.US](https://longbridge.com/en/quote/C-R.US.md)

## Related News & Research

- [Why Arm Holdings stock popped today](https://longbridge.com/en/news/295832046.md)
- [Arm Holdings: Data Center Royalty Grows 2X Again, AGI CPU Revenues To Cross $1 Billion](https://longbridge.com/en/news/294406827.md)
- [Arm Q1 FY27 non-GAAP net income climbs to $531 million; revenue rises 22% YoY to $1.29 billion](https://longbridge.com/en/news/294259761.md)
- [Arm Holdings' Next Earnings Report on July 29 Could Send the Stock Soaring. Here's Why.](https://longbridge.com/en/news/293966345.md)
- [Arm Stock Forecast: ARM Tests $267 After 34% Growth and DreamBig Deal](https://longbridge.com/en/news/295533713.md)

---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**