Morgan Stanley raises Arm Holdings stock price target on strong CPU demand

Morgan Stanley has increased its price target for Arm Holdings (NASDAQ:ARM) stock to $202 from $191, maintaining an Equalweight rating, driven by strong CPU demand, particularly from Cloud AI applications. The firm highlighted that while the outlook is prudent due to supply constraints, royalties are seen as a key near-term growth driver. This adjustment follows other analysts raising their targets and Arm’s recent strong Q4 fiscal 2026 results.

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