Arm share price continues to rise following the release of quarterly financial data on February 8. Since the last report by the British chip designer, the stock price has seen a 93% surge on Monday, February 12. More interestingly, the pricing saw a noticeable 29% jump on Monday alone.
With this, Arm's stock price has almost tripled since the initial public offering in September, closing at $148.97 on Monday. This puts the current market value of Arm at nearly $153 billion. To compare, the market cap of Intel is currently $186.16 billion, meaning the British chip company is a little over $33 billion behind the American company.
It isn't yet clear why Arm stock price saw such a surge on Monday. But the chip designer talked about charging double for the latest instruction set last week. This would account for 15% of all royalties, meaning the semiconductor developer can expand the margin and earn more from the new chips.
The strong royalty income of Arm, combined with a promising growth forecast, has made the company a favorite among AI investors despite its higher valuation than Nvidia or AMD.
Things may become more clear with the expiration of the 180-day post-IPO lockup next month. That would give a better idea of the valuation of Arm. As of now, SoftBank still owns 90% of the shares, meaning that its stake has seen an increase of more than $61 billion since the report on February 8.
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